topic Credit One Approval Regret in Credit Card Applications

Credit One Approval Regret

Anonymous — Tue, 28 Jul 2020 02:03:17 GMT

HI, I applied for a Credit One Platinum Visa and was approved for 500$ with a 75$ annual fee but the problem is I also got approved for 3 store cards that has no annual fees on them and I no longer need the Credit One Visa. I got the card in the mail and the terms say :

You may still reject this plan, provided that you have not used the Account or paid a fee after receiving a billing statement.

If you do reject the plan, you are not responsible for any fees or charges.

So I called them to cancel before activating and they assured me the card is canceled and I owe a 0 balance. Will they surprise bill me or my credit be negativly affected ?

Re: Credit One Approved Regret

M_Smart007 — Mon, 27 Jul 2020 21:02:31 GMT

@Anonymous wrote:
HI, I applied for a Credit One Platinum Visa and was approved for 500$ with a 75$ annual fee but the problem is I also got approved for 3 store cards that has no annual fees on them and I no longer need the Credit One Visa. I got the card in the mail and the terms say :

You may still reject this plan, provided that you have not used the Account or paid a fee after receiving a billing statement.
If you do reject the plan, you are not responsible for any fees or charges.

So I called them to cancel before activating and they assured me the card is canceled and I owe a 0 balance. Will they surprise bill me or my credit be negativly affected ?

You probably will take the new account hit on score.

Keep your eye on the account, Credit One is known to tack on Fee's .. YMMV

Re: Credit One Approved Regret

DebtStinks — Mon, 27 Jul 2020 21:08:22 GMT

Your credit card agreement (should have been included in the envelope) with your new card should state the terms by which you're bound...assuming you activate and/or use the card. Otherwise, as stated by the rep, you're good to go without any fees, etc incurred. It might be a good idea to keep the terms in a safe spot in case something gets reported/was already reported and doesn't get correctly updated with the CRA's.

Best of luck on your credit journey!

Re: Credit One Approved Regret

BmoreBull — Mon, 27 Jul 2020 21:17:29 GMT

@Anonymous wrote:
HI, I applied for a Credit One Platinum Visa and was approved for 500$ with a 75$ annual fee but the problem is I also got approved for 3 store cards that has no annual fees on them and I no longer need the Credit One Visa. I got the card in the mail and the terms say :

You may still reject this plan, provided that you have not used the Account or paid a fee after receiving a billing statement.
If you do reject the plan, you are not responsible for any fees or charges.

So I called them to cancel before activating and they assured me the card is canceled and I owe a 0 balance. Will they surprise bill me or my credit be negativly affected ?

Unless the store cards are visa versions, the credit one may actually have helped you more, IMO. As someone who has 3 store branded cards, I can say I would do it differently if I could. The Express card I have used once since it was open. I'm trying to keep it open until it hits a year and close it. The VS card I have, I will keep. Wife loves their stuff and the daughters love bath and body works. So that one at least gets some use. My other store card is a Kay Jewelers with a $4k limit. This card gets no use, other than buying clearance junk to keep it open. I would have much rather had visa or mc branded cards that I could use everywhere. Of course this is a ymmv situation. If the cards that you got fit your spend and you shop at those places a ton, then they're good cards for you. Congrats on the approvals.

Re: Credit One Approved Regret

Anonymous — Mon, 27 Jul 2020 21:18:13 GMT

But the account is probably still gonna report to your credit report. therefore you still take all the penalties for age and all that good stuff.

do you have any other visas or MasterCard? I’m just baffled because store cards are definitely not a substitute for real credit cards, so unless you have other credit cards I don’t understand why you would cancel it.

Re: Credit One Approved Regret

Anonymous — Mon, 27 Jul 2020 21:41:24 GMT

I have no other cards other than the 3 store cards from Comenity. If I would have kept the Visa from Credit One would it have improved my credit score more than the store cards?

Re: Credit One Approved Regret

Anonymous — Mon, 27 Jul 2020 21:55:50 GMT

Yes, I’m sorry. You can’t even properly do AZEO without a real credit card. Store cards are great, if they fit your spend, but they do not carry the same weight in credit scoring and they’re also adverse when it comes to insurance scoring.

Re: Credit One Approved Regret

Anonymous — Mon, 27 Jul 2020 22:52:02 GMT

I called them back and they stopped the acount closing. They gave me an extra 100$ credit line increase to 600$ total. Also they said my account should be eliglble for a 50$ credit when the annual fee gets posted

Re: Credit One Approved Regret

Anonymous — Mon, 27 Jul 2020 22:57:57 GMT

Congratulations that’s great! Now when you want your best scores, that’s the only card you report a balance on! Wow I don’t know how you pulled that rabbit out of a hat but good job!

Re: Credit One Approved Regret

Anonymous — Mon, 27 Jul 2020 23:03:03 GMT

Now after you build a year or so history you can get some that don’t have annual fees, as a matter of fact you may have been able to have gotten a secured card that didn’t have an annual fee, if you had researched it and I definitely encourage you to do that for the future. You may still be able to.

You may be able to check with Discover secured or many of the other options there are many secured cards do not have AFs, but no matter what, this will build payment history for you.

Re: Credit One Approved Regret

Anonymous — Mon, 27 Jul 2020 23:21:25 GMT

Well I am less than a month out of chapter 7 and most major banks were included. so I can't even get anything from capital one or discover so far the only banks that will work with me at all has been comenity and credit one and they were even included in the bankruptcy. it's probably a miracle I got those. I think I read all the negative things about credit one online got abit afraid of them and went to cancel it and didn't know the store cards wouldn't have the same effect on my credit. the only other alternative would have been open sky secured but it also has an annual fee. Thank you for the help! I find it is always best to listen when good advice is given which sometimes alot of people don't do anymore

Re: Credit One Approved Regret

gingerflower — Mon, 27 Jul 2020 23:33:24 GMT

@Anonymous

Excellent move to call and reopen account with credit one at least you will be having a real credit card reporting then store cc. Good luck on your credit journey!

Re: Credit One Approved Regret

BmoreBull — Mon, 27 Jul 2020 23:38:20 GMT

Kudos for getting the account to stay open. Credit One may not be the ideal lender, but we all start somewhere. There's absolutely no shame in it. Had I found these forums before I started my rebuild, I would have went about things completely different. I started by watching YouTube videos and actually believed that 30% utilization was a good thing. 😂😂 Congrats on your new cards and remember , it's a marathon not a sprint.

Re: Credit One Approved Regret

Anonymous — Tue, 28 Jul 2020 00:17:15 GMT

Being around 2 weeks out of chapter 7 with an experian fico 8 score of 508. I guess having the credit one with the 3 store cards should help for a good start

Re: Credit One Approved Regret

Anonymous — Tue, 28 Jul 2020 02:07:58 GMT

@Anonymous wrote:
Well I am less than a month out of chapter 7 and most major banks were included. so I can't even get anything from capital one or discover so far the only banks that will work with me at all has been comenity and credit one and they were even included in the bankruptcy. it's probably a miracle I got those. I think I read all the negative things about credit one online got abit afraid of them and went to cancel it and didn't know the store cards wouldn't have the same effect on my credit. the only other alternative would have been open sky secured but it also has an annual fee. Thank you for the help! I find it is always best to listen when good advice is given which sometimes alot of people don't do anymore

@Anonymous if that's the case, you're doing just fine. You do need 2 more bankcards though at some point, whether it be opensky or whatever. The sooner you can get them, the better, but you can only get them as soon as you can get them. So if you can't get them yet, just wait and get them when you can. In the longrun you want five but you want three as soon as is not gonna be a hardship and is possible.

Re: Credit One Approved Regret

Iusedtolurk — Wed, 29 Jul 2020 21:56:18 GMT

@Anonymous wrote:
I called them back and they stopped the acount closing. They gave me an extra 100$ credit line increase to 600$ total. Also they said my account should be eliglble for a 50$ credit when the annual fee gets posted

Well that was a unexpected bonus.....NOW call them back say you changed your mind and close it...wait...then call them back to see if they may give you another credit line bump.

But on the serious side Congrats on obtaining a card that can help you more than those store cards.

Re: Credit One Approved Regret

joltdude — Thu, 30 Jul 2020 00:26:23 GMT

You may be able to get into Cap One in a year or so....

Discover.... depending on the burn... possibly 2 years....

Congrats on the save.....

-J

Re: Credit One Approved Regret

recoveringfrombk7 — Thu, 30 Jul 2020 04:39:11 GMT

@Anonymous I used Credit One for the first year after my rebuild. Nothing to be afraid of, just login to the online portal and make sure you pay on time. When you are ready to cancel call in, don't let them sweet talk you, ask for proof via regular mail. Login to check your account as if it were still active for 2 more months just to make sure there were no lingering interest charges or anything else wonky. They were a helpful part of my rebuild. We all have to start somewhere.

@Anonymous yay congrats on the level up. Thanks for all you do here!

Re: Credit One Approved Regret

Anonymous — Thu, 30 Jul 2020 05:22:47 GMT

@recoveringfrombk7 wrote:

@Anonymous yay congrats on the level up. Thanks for all you do here!

@recoveringfrombk7 thank you for the kind words, you're more than welcome!

Re: Credit One Approved Regret

CreditCrusader — Fri, 31 Jul 2020 09:47:09 GMT

@Anonymous wrote:
I called them back and they stopped the acount closing. They gave me an extra 100$ credit line increase to 600$ total. Also they said my account should be eliglble for a 50$ credit when the annual fee gets posted

Well done!

Credit One justifiably gets a lot of criticism, but knowing how to use them is really the key to getting the most out of their cards. They are loosening up a bit for good customers who use their products and pay them consistently (My sister LOVES them, but she has their $95 AF card with 5% bucketed/1% unlimited rewards).

I do want to give you a piece of advice: Use your bank's bill pay to push payments. Do NOT use their online payment system, as they generally post those payments very S-L-O-W-L-Y. By comparison, if you submit bill payments from your bank before noon, the balance and available credit will reflect that payment by about 10:30pm the following evening.