topic Re: Credit One Bank Monthly Annual Fee in Credit Cards

Credit One Bank Monthly Annual Fee

Anonymous — Mon, 04 Nov 2019 00:28:19 GMT

I have two Credit One Bank cards ($1,500 limits) and a Merrick Bank Card ($1,600 limit). They don’t have balances but have monthly annual fees. So they never report as 0 balance ($9, $5, $4). Is there any strategy to prevent this until I increase my other credit limits enough so I can close these cards?

Re: Credit One Bank Monthly Annual Fee

Anonymous — Mon, 04 Nov 2019 00:43:55 GMT

Not unless they’ll let you pay more than you owe to create a negative balance. I have no idea if they will do that.

Re: Credit One Bank Monthly Annual Fee

Anonymous — Mon, 04 Nov 2019 01:01:29 GMT

The only way I found to do it was to pay from bill pay at my bank, basically forcing them to take more money than due to create a negative balance, as I could not do so on their website. I ended up canceling them though because the AF was not worth it for the limits or rewards I was getting. If you goal is to keep them aging, remember if you cancel them now they will stay on your credit for up to 10 years, and will still add to overall aging until they drop off.

Re: Credit One Bank Monthly Annual Fee

Anonymous — Mon, 04 Nov 2019 01:34:39 GMT

Thanks. The annual fee is definitely not worth it. The problem is the CLs have increased to total $4,600. Other than that I have Discover at $10,000 and Capital One Quicksilver at $3,000. I have AMEX Gold but no limit. My utilization is currently 15%. So I don’t want to close them until I am able to increase my credit limits. I do appreciate them helping me rebuild and never had much of a problem with them. But they do try to nickel and dime you and the annual fee is not worth the rewards (and forced balance every month).

Re: Credit One Bank Monthly Annual Fee

Anonymous — Mon, 04 Nov 2019 01:45:15 GMT

Pay bill from bank with your monthly fee over. Works well for me when I want it to report $0 every other month.

Ie you have $100 bal, the fee is $6, send payment from bank for $106. Reports $0

Re: Credit One Bank Monthly Annual Fee

Anonymous — Mon, 04 Nov 2019 01:47:13 GMT

Well, closing them would lose 4600 and subsequently increase utilization to 20% which is over the 18.9% threshold. To bring utilization back down to 15%, you would need to pay out 2000 to the cards, but to pay to under the 18.9 threshold it would be only 300.. 400 if you are getting hit with interest and want to make sure they report under the 18.9% mark. You are already over the threshold of 8.9% anyway. If you can spare the money, I would just pay down the cards by 400 and close the ones with an AF. You could also check to see if Cap One will give you an increase as well.

Re: Credit One Bank Monthly Annual Fee

HeavenOhio — Mon, 04 Nov 2019 15:58:10 GMT

@Anonymous, thresholds for overall utilization are at 8.9% and 28.9%. 18.9% shouldn't matter.

@Anonymous, I'd close the two Credit One cards now, and I'd close Merrick once you get a Visa or Mastercard that can replace it. Most people are fine when any reported balances are below 28.9%. If your scores are iffy, adjust your balances accordingly until you have higher limits.

Re: Credit One Bank Monthly Annual Fee

Anonymous — Mon, 04 Nov 2019 16:37:42 GMT

Oh.. I thought the FICO thresholds were at 8.9, 18.9, 28.9, 38.9, etc.

Well yea if the pattern is 8.9 then 28.9, if you, @cshilling22, closed them your utilitzation wouldnt really ding you FICO anyway, but you know what you can do? Call Credit One and see if they will stop the fee. They did for me for a courtesy of 6 months. They wouldnt/couldnt again, but if they stop for 6 months for you at least it gives you time to pay down things without losing money on those cards.

Re: Credit One Bank Monthly Annual Fee

Anonymous — Mon, 04 Nov 2019 23:29:15 GMT

Or try to pay some of the balance down and close one for now. Pay some more down, and close another. You don't have to close them all down at once.

Re: Credit One Bank Monthly Annual Fee

Anonymous — Tue, 05 Nov 2019 17:26:29 GMT

rsmy1234 I am drolling over your 40K double cash limit lol

Re: Credit One Bank Monthly Annual Fee

Anonymous — Tue, 05 Nov 2019 17:30:04 GMT

@Anonymous wrote:
rsmy1234 I am drolling over your 40K double cash limit lol

I've had that limit since 2007 (it wasn't a DC back then) and they won't raise it. Never really need all of it anyway.

Re: Credit One Bank Monthly Annual Fee

Anonymous — Tue, 05 Nov 2019 17:44:43 GMT

Wow. Still thats a nice limit anyway!

Re: Credit One Bank Monthly Annual Fee

Anonymous — Tue, 05 Nov 2019 17:48:01 GMT

@HeavenOhio wrote:
@Anonymous, thresholds for overall utilization are at 8.9% and 28.9%. 18.9% shouldn't matter.

@Anonymous, I'd close the two Credit One cards now, and I'd close Merrick once you get a Visa or Mastercard that can replace it. Most people are fine when any reported balances are below 28.9%. If your scores are iffy, adjust your balances accordingly until you have higher limits.

Also, I wouldn't at this stage overworry about utilization/scores compared to the real money going out. You are paying $17 a month in fees, which while not huge is over $200 a year. If you didn't have a better card I can see MAYBE keeping one, but with a discover and an Amex, I would close them all. Or follow HeavenOhio's advice if you shop at places that need a Visa/MC rather than Discover or Amex.

Re: Credit One Bank Monthly Annual Fee

Anonymous — Tue, 05 Nov 2019 23:28:14 GMT

So question then about the threshold thing.. does having a balance under 8.9 even ding the score? Or is it over 8.9 a ding then over 28.9 a larger ding?

Re: Credit One Bank Monthly Annual Fee

Anonymous514 — Tue, 05 Nov 2019 23:32:25 GMT

My Credit One doesn't have a monthly AF? It is just 39$ a year...Do they really charge you monthly?

Re: Credit One Bank Monthly Annual Fee

Anonymous — Tue, 05 Nov 2019 23:34:48 GMT

Oh well, they have different terms and one of them is no monthly fee like yours. Its rarer to come across. If you already paid your AF of 35 then at this point I would say just sit on it until it comes up for renewal, then cancel it.