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Established Contributor
CreditDrama85
Posts: 1,044
Registered: ‎07-03-2007
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cap one option to go over credit line?

i received a call from capital one saying i could opt in or keep the option to go over my credit line for $19 fee instead of $39 fee. they said that if i did not opt in any charge over the credit line would be denied with the new law going into effect next year. has anyone else that has gotten the call been able to clarify how much you can go over your limit by? is it 10%? 20%?
Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009
0

Re: cap one option to go over credit line?


CreditDrama85 wrote:
i received a call from capital one saying i could opt in or keep the option to go over my credit line for $19 fee instead of $39 fee. they said that if i did not opt in any charge over the credit line would be denied with the new law going into effect next year. has anyone else that has gotten the call been able to clarify how much you can go over your limit by? is it 10%? 20%?

 

Yes, others have gotten this call. You have to opt in so they can charge you an O/L fee, otherwise they cannot impose the fee under any circumstancesThis is not an extension of your CL and I doubt it goes any further than one or two minor charges past the CL. It is just their way of "inviting" you to waive some of the consumer protections included in the Credit CARD Act of 2009.
Regular Contributor
QueenBean
Posts: 128
Registered: ‎12-21-2008
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Re: cap one option to go over credit line?

The way I understand it is that if you "opt in", they will allow a charge that takes you over your credit limit to go through, and will impose a fee.  If you "opt out", any charge that takes you over your limit will be declined.

 

I opted in, simply because in case of an emergency, I'd like to have the flexibility.


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Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009
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Re: cap one option to go over credit line?


QueenBean wrote:

The way I understand it is that if you "opt in", they will allow a charge that takes you over your credit limit to go through, and will impose a fee.  If you "opt out", any charge that takes you over your limit will be declined.

 

I opted in, simply because in case of an emergency, I'd like to have the flexibility.


 

You only have to opt in. The default situation is that no fee may be imposed for going overlimit. Many issuers have totally removed OL fees from the picture. (DFS mainly comes to mind.) The issuers that are calling you to get you to opt in are attempting to persuade you to give up your rights. They are not granting you the privilege of going OL. (Each charge you make will be individually scrutinized and approved/declined if it will make you go OL.) You are granting them the privilege of charging you a fee if their finance charges put you over your CL. If you do not opt in an issuer can never charge you an OL fee for any reason. Why give up a right in exchange for nothing?
Super Contributor
DI
Posts: 5,767
Registered: ‎01-28-2008
0

Re: cap one option to go over credit line?

[ Edited ]
Why opt in to be allowed to use more than the line of credit offered?  It may not cost the cardholder fees after the new law take it's course, but that doesn't mean the creditor won't close the account.  Just use another card if one is close to maximization. 
Message Edited by DI on 12-27-2009 11:05 PM
Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009
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Re: cap one option to go over credit line?

There is nothing to be gained by opt in other than future headaches.
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Senior Contributor
laz98
Posts: 4,334
Registered: ‎09-06-2008
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Re: cap one option to go over credit line?

& there's nothing to lose by opting in if you are responsible with your credit.
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Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009
0

Re: cap one option to go over credit line?


laz98 wrote:
& there's nothing to lose by opting in if you are responsible with your credit.

 

Yup. That's what the man always says when he asks you to give up your rights. Just say no!
Established Contributor
MsKiwi
Posts: 832
Registered: ‎03-20-2008
0

Re: cap one option to go over credit line?


creditwherecreditisdue wrote:
There is nothing to be gained by opt in other than future headaches.

And the choir said AMEN!

Super Contributor
DI
Posts: 5,767
Registered: ‎01-28-2008
0

Re: cap one option to go over credit line?


laz98 wrote:
& there's nothing to lose by opting in if you are responsible with your credit.

Some do not think about tomorrow.  Some are addicted to credit cards and spending.  Some find a need to shop because it's a sunny and warm day.  Some need to relieve stress so they continue to shop. Unfortunately,  that same 'some' continue to shop with credit and cannot repay in all back in one lump sum.  Those "some" have everything to lose.  They give up their rights and will continue to be succumb by the banks.  The govt stepped in and it's time to stop the cycle.  I'm just saying.  


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