topic Re: Capital One Question in Credit Cards

Capital One Question

failur3byh3art — Sun, 05 May 2019 13:49:16 GMT

Hello everyone, I'm currently rebuilding my credit after 5 collection accounts and 2 charge offs. Last year Capital one was kind enough to give me a second chance with a secured platinum card and I initially loaded it with 500$. After 6 months I noticed 300$ was added to my limit and thought my card graduated but that was not the case. I did however check for prequalified offers and the QS1 popped up in which I decided to try and apply for and was approved! I recall reading somewhere that Capital one denies CLI's due to lack of usage of their card. I've been using these cards and immediately paying them off. My question is, does Capital one keep track of spending habits to determine graduations and QS1 increases? Also I usually always pay in full and then make small charges before the closing date to carry a balance over (just so there's record of card usage). It's my second month on my QS1 and I believe its on credit steps, but should I be using the card more and paying it off multiple times a month? Does Capital one care if I carry a tiny balance over to the next month?

Re: Capital One Question

AverageJoesCredit — Sun, 05 May 2019 13:54:37 GMT

Obviously the more spend you put on a Capitol One card the better but seeing as these are beginner cards im not sure it really matters so long as you pay on time. No use in trying to impress for a $100 increase. Use as you like and pay.

Re: Capital One Question

gdale6 — Sun, 05 May 2019 13:59:53 GMT

@failur3byh3art wrote:
Hello everyone, I'm currently rebuilding my credit after 5 collection accounts and 2 charge offs. Last year Capital one was kind enough to give me a second chance with a secured platinum card and I initially loaded it with 500$. After 6 months I noticed 300$ was added to my limit and thought my card graduated but that was not the case. I did however check for prequalified offers and the QS1 popped up in which I decided to try and apply for and was approved! I recall reading somewhere that Capital one denies CLI's due to lack of usage of their card. I've been using these cards and immediately paying them off. My question is, does Capital one keep track of spending habits to determine graduations and QS1 increases? Yes.

Also I usually always pay in full and then make small charges before the closing date to carry a balance over (just so there's record of card usage). It's my second month on my QS1 and I believe its on credit steps, but should I be using the card more and paying it off multiple times a month? Its up to you, Cap-1 doesnt care. When I had mine I ran through 4-5x the limit monthly with varying payments to free up the available credit.

Does Capital one care if I carry a tiny balance over to the next month? No, they want usage on their cards.

Welcome to myFico

Adding: Its my understanding they no longer graduate secured cards so you might just want to close it out

Re: Capital One Question

pinkandgrey — Sun, 05 May 2019 14:17:37 GMT

There’s no need to let a balance report. Cap One can see how much you use your card regardless of what reports. Heavy usage and lots of payments should help you get your CLIs, but keep in mind that even your new QS1 may be in a bucket, so it may not grow to sky-high levels. Good luck! And congrats on approval!

Re: Capital One Question

HighAchiever — Sun, 05 May 2019 17:43:31 GMT

What she said...

Re: Capital One Question

aircobra — Sun, 05 May 2019 17:47:35 GMT

FWIW, I have barely used my bucketed QS (was previously secured) the past few months and I just got a $1500 CLI a couple days ago. Of course, I could easily be an outlier but it's worth mentioning.

Re: Capital One Question

Anonymous — Sun, 05 May 2019 17:53:30 GMT

@aircobra wrote:
FWIW, I have barely used my bucketed QS (was previously secured) the past few months and I just got a $1500 CLI a couple days ago. Of course, I could easily be an outlier but it's worth mentioning.

I have had my QS for 2 1/2yrs (previously secured platinum) and it has never grown past the 300 credit steps bump i got when it was secured. I have used it some from time to time, but nothing heavy since i have better cards. I just keep it open for the history more than anything.

Re: Capital One Question

failur3byh3art — Wed, 08 May 2019 10:18:39 GMT

Thank you all for your responses! I'm still fairly trying to understand the credit systems. I'm rebuilding and now mid 600 range (trying to be as responsible as possible but properly spending within my limits). That is quite sad cap1 is no longer graduating secured cards =/. I would close the account but would also like to know if its possible to PC it to another card and get back my initial deposit. Do they do that? Or does the deposit simply stay in the card despite the PC. Also, I heard capital one allows people to have 2 cards max per customer. What are the steps in upgrading or getting another card? Say I close one of the cards, do I have to wait 6 months after that to apply for a card or can I apply right away either on their website or phone? Also I'm willing to be patient as I just started my rebuilding journey in October 2018. I made big mistakes 6 years ago when I was 23 but learned from it.

Re: Capital One Question

Anonymous — Wed, 08 May 2019 12:36:35 GMT

PC'ing from a Secured card to a non-secured card isnt something Cap One does... I remember reading a post here about that.

I agree with others, close the secured card, be happy you are no-longer in need of secured cards.. You have done a good job getting your credit rebuilt, stay the course, this is a slow and steady climb. Be patient, you will get better cards as time passes.

Re: Capital One Question

Anonymous — Wed, 08 May 2019 12:46:12 GMT

@aircobra wrote:
FWIW, I have barely used my bucketed QS (was previously secured) the past few months and I just got a $1500 CLI a couple days ago. Of course, I could easily be an outlier but it's worth mentioning.

My last CLI request came back with something extra with this months attempt, other than the generic INQ babble...

Recent use of this account's existing credit line has been too low

So, put something other than Hulu and my phone charge on it this month. heh

Re: Capital One Question

Queen_Etherea — Wed, 08 May 2019 14:13:07 GMT

@Anonymous wrote:
@aircobra wrote:
FWIW, I have barely used my bucketed QS (was previously secured) the past few months and I just got a $1500 CLI a couple days ago. Of course, I could easily be an outlier but it's worth mentioning.
My last CLI request came back with something extra with this months attempt, other than the generic INQ babble...

Recent use of this account's existing credit line has been too low

So, put something other than Hulu and my phone charge on it this month. heh

I've had my card since October 2017 and have never received a CLI. Their latest excuse is exactly what you wrote. I've been using the stupid card non-stop. I don't know how putting $1,500 worth of purchases on it each month would give me that message, but cool Cap1! You do you....

Re: Capital One Question

Anonymous — Wed, 08 May 2019 14:42:10 GMT

OP, what was stage starting credit limit they gave you on the QS1 card?

Re: Capital One Question

SoCalifornia — Wed, 08 May 2019 16:34:26 GMT

lol @ Queen_Etherea

But seriously tho, same here. It had never mattered if I made a few small slides in a month or ran purchase diarrhea through either of my Crapital1 cards. The plain and simple truth is Cap1 is a good option to help pull yourself up but not to grow into the future (with maybe the smallest of exceptions). And in my opinion, they start off in the bucket and offer escape to occasional customers as a marketing tool- the lucky few, as it were.

Re: Capital One Question

failur3byh3art — Wed, 08 May 2019 18:42:06 GMT

@Anonymous wrote:
OP, what was stage starting credit limit they gave you on the QS1 card?

They gave me a 300SL with credit steps. I'm pretty sure this card will be bucketed as others have said =/. Sad that capital one does this, but eventually I may try for something else. Right now I'm planning on closing out my secured card as it's served its purpose in getting my scores up from 480 to 655 alone. To everyone, if I close the card do I have to wait 6 months to apply for another card? Or can I apply right away?

Re: Capital One Question

MakingProgress — Wed, 08 May 2019 18:57:49 GMT

@Queen_Etherea wrote:
@Anonymous wrote:
@aircobra wrote:
FWIW, I have barely used my bucketed QS (was previously secured) the past few months and I just got a $1500 CLI a couple days ago. Of course, I could easily be an outlier but it's worth mentioning.
My last CLI request came back with something extra with this months attempt, other than the generic INQ babble...

Recent use of this account's existing credit line has been too low

So, put something other than Hulu and my phone charge on it this month. heh
I've had my card since October 2017 and have never received a CLI. Their latest excuse is exactly what you wrote. I've been using the stupid card non-stop. I don't know how putting $1,500 worth of purchases on it each month would give me that message, but cool Cap1! You do you....

How much is your limit? They are comparing your charges to your limit.

When I was in credit steps I was putting about 800 a month through a $300 CL card, so instead of the promosied $200 CLI I got a $3000 CLI, six moths later I got $2000 CLI so my current limit is $5, 300. Now I am getting the same message "Recent use of this account's existing credit line has been too low" that makes perfect sense considering I am now putting about $200 a month on a card that has a $5300 limit. Even if I was putting $1500 a month on it I would still be under 30% util.

Re: Capital One Question

SoCalifornia — Wed, 08 May 2019 18:58:40 GMT

OP- I'm fairly certain closing a credit card will have no affect on applying for another credit card (with the same lender) so long as there are no outstanding circumstances, i.e. bad history, balances, that sort of thing.

Re: Capital One Question

Anonymous — Wed, 08 May 2019 21:52:45 GMT

The $300 is your CLI. My advice, keep that card for year or so and now go ahead play with that QS card and after year, close the secure card because they arent great anymore but for credit building.

I had secured since Jan and I just graduated (early) and got QS card, even higher CL.

Yes, don't bother using secured card anymore on or about year after.

Re: Capital One Question

failur3byh3art — Thu, 09 May 2019 10:15:35 GMT

Thank you for the responses! I'll have my eyes set on closing the secured card after the year mark as it will still assist me with getting my scores up. Patience is key, and im not hurting on money for my deposit back. But from what others have said and on this thread, is it possible to really get a higher limit in the credit step than 500? I received an email just a few hours ago from capital one saying by October they will increase my limit to 500$ up from the 300$ SL. If I put heavy usage on this card would they give me a bigger increase? Considering I paid off bills and use it for groceries, as well as paid it in full and used another 250$ on it, would they give me a much higher reward than 200 of an increase?

Re: Capital One Question

SoCalifornia — Thu, 09 May 2019 11:47:11 GMT

Hi OP-
Unfortunately, the cut off for Credit Steps is $500. Depending on your history and usage, a somewhat common CLI as early as 6 months from the final Credit Steps increase is typically $250. That's not guaranteed, but a lot people get bucket at $750. At that point, it's just all up the bi-polar Capital One.

Re: Capital One Question

failur3byh3art — Thu, 09 May 2019 13:59:54 GMT

Thank you for your response. It makes me sad about the CLI =[ but I understand it is a starter card compared to the normal QS. I'll just be patient and accept it until my credit improves a great deal then I'll apply for a new card or PC