topic Re: Credit One? in Credit Cards

Credit One?

Creditdreamer — Sun, 19 Feb 2012 22:15:08 GMT

I read about Credit One on one of the threads here. I was pre-qualified for a card when I checked online. Does anyone have any experience with them? I currently have a CapOne secured and am waiting for my Open Sky secured to arrive in the mail. I know that the annual fee is high and that they begin charging interest the day that the charges post but I'm looking more for experiences people have had or advice on whether or not it's worth it to get the extra available credit.

Thanks!

Re: Credit One?

RobertEG — Sun, 19 Feb 2012 22:20:31 GMT

Question one:

Do they report to the CRAs? If so, which ones?

Re: Credit One?

namvet — Sun, 19 Feb 2012 22:22:49 GMT

@Creditdreamer wrote:
I read about Credit One on one of the threads here. I was pre-qualified for a card when I checked online. Does anyone have any experience with them? I currently have a CapOne secured oand am waiting for my Open Sky secured to arrive in the mail. I know that the annual fee is high and that they begin charging interest the day that the charges post but I'm looking more for experiences people have had or advice on whether or not it's worth it to get the extra available credit.

Thanks!

You will get mostly negative comments about Credit One from those that have experience with them. I disagree with most of them. The card has a place and in your case it may help you get your credit established. You just got to know when to move on. This card is known to offer credit to those with less than average credit scores. This card will help you build credit as long as you do this: pay on time and don't charge more than 30% of your available line

Re: Credit One?

Creditdreamer — Sun, 19 Feb 2012 22:23:07 GMT

Yes. All three supposedly.

Re: Credit One?

namvet — Sun, 19 Feb 2012 22:24:20 GMT

@RobertEG wrote:
Question one:
Do they report to the CRAs? If so, which ones?

They report to all 3 bureaus.

Re: Credit One?

Creditdreamer — Sun, 19 Feb 2012 22:26:09 GMT

@ namvet: How long did you have the card for? I was thinking of just using it for under 10% and the money that I'm paying with the annual fee I would look at as basically an investment into my credit scores...

Re: Credit One?

rckstrscott — Sun, 19 Feb 2012 22:26:33 GMT

I have a CreditOne card, the first one I got that was unsecured after I started rebuilding. I got a CapOne secured, then the CreditOne unsecured a couple months later.

It reports, it reports on time, and it reports accurately. They started reporting right away on all three credit reports. The interest is kind of high, but I have had no issues with the card, I already got a limit increase in fact. I don't even have a balance on it.

It does have an annual fee, so be careful to pay attention to what you are signing up for. I got a 300 dollar limit to start, and like 39.95 of it was an annual fee right off the bat. That part isn't appealing, but the credit score boost was. I will be closing it as soon as I close on my house.

-scott

Re: Credit One?

RobertEG — Sun, 19 Feb 2012 22:30:24 GMT

Then I dont see a down-side, provided you are well-aware of the fine print, and use it to your advantage.

Consumers get into trouble with crap cards because they often have interest escalation and fees that make it worth the increased risk to the creditor.

Know the terms, and abide by them. You will get another revolving line of credit since they report to your credit file, and that is a clear advantage to one with no or few revolving lines of credit.

Re: Credit One?

Creditdreamer — Sun, 19 Feb 2012 22:32:00 GMT

@ rckstrscott: How long have you had it? And did you get any other secured or unsecured rebuilder cards? I'm planning on dropping like 3k each into CapOne and Open Sky in the next two months to increase limits but I like the idea of having an unsecured card. They say they do income verification. Is this the case in your experience or no?

Re: Credit One?

namvet — Sun, 19 Feb 2012 22:44:43 GMT

@Creditdreamer wrote:
@ namvet: How long did you have the card for? I was thinking of just using it for under 10% and the money that I'm paying with the annual fee I would look at as basically an investment into my credit scores...

I don't have this card Creditdreamer. My daughter has/had the card when she was starting out on her credit journey. It helped her get established. The interest rate is high but so what, a $500 credit line won't cause much damage. A few tips: pay the card via your on line checking bill pay program, don't ask for a CLI a use it for a year. This card is not designed to be a life long companion. Your proposed plan is outstanding. Good luck.

Re: Credit One?

rckstrscott — Sun, 19 Feb 2012 22:51:28 GMT

@Creditdreamer wrote:
@ rckstrscott: How long have you had it? And did you get any other secured or unsecured rebuilder cards? I'm planning on dropping like 3k each into CapOne and Open Sky in the next two months to increase limits but I like the idea of having an unsecured card. They say they do income verification. Is this the case in your experience or no?

No income verification but a hard in EQ. Some people have had a hard on their TU, but I didn't. I got this card in December of 2010. No issues at all, and you can make payments from a debit card (you have to pay extra) if you want an immediate payment to process. If not, they do online billing through your bank account.

I don't use this card much, I did when I first got it just to sort of establish the card and get the CL increase.

They are a beast to deal with though if you go delinquent. This card is designed for people to rebuild, and natually, it doesn't take much credit to qualify. Therefor, they have a lot of cards go into collections ect..

They also have offshore customer service, I don't know if that matters to you or not.

Overall, its not ideal, but it def. serves the purpose you are looking from it.

-scott

Re: Credit One?

Creditdreamer — Sun, 19 Feb 2012 22:53:10 GMT

Because of the nature of the interest on this card, would this be the best card to have reporting a 0 balance every month? This going along with the theory that only one card should report a balance each month of under 10% (which people seem to have debate over whether or not that's the best thing to do).

Re: Credit One?

Creditdreamer — Sun, 19 Feb 2012 22:56:48 GMT

@ rckstrscott: Yeah. I see all the posts on the forums about CO accounts with them. I'm going full steam ahead with rebuilding and now have the income to back it up so barring no unforeseen circumstances, I won't be in that boat. How were you using it in the beginning to gain the CLI?

Re: Credit One?

namvet — Sun, 19 Feb 2012 23:04:02 GMT

@Creditdreamer wrote:
Because of thAs e nature of the interest on this card, would this be the best card to have reporting a 0 balance every month? This going along with the theory that only one card should report a balance each month of under 10% (which people seem to have debate over whether or not that's the best thing to do).

That theory is designed for more experienced credit users. Just report 30% or less and you will be fine.

Re: Credit One?

rckstrscott — Sun, 19 Feb 2012 23:04:08 GMT

I put it up to 2/3 of my limit right away.. kept the balance for one reporting cycle, paid it off... did that again and after I paid it down that second time, I got an increase from 300 to 500...

I mean, I don't really care about the interest. I had a 570 credit score when I got it. If you have a checkered past, you need to re-establish yourself before you can really qualify for low interest anyway.

Once I got up to 500, I paid it down to 0 and thats where it stayed until they hit the annual fee in December, I paid that off and intend on keeping it at 0 until I close it later in the year.

Once again, I have had no single issues with this card.

-Scott

Re: Credit One?

Creditdreamer — Sun, 19 Feb 2012 23:09:59 GMT

@ namvet: Assuming that I can handle the complexity of timing the payments correctly to achieve the 10% on only one card thing, would there be any benefits to doing that rather than having under 30%?

Re: Credit One?

Creditdreamer — Sun, 19 Feb 2012 23:12:14 GMT

@ rckstrscott: When they gave you the increase, did they charge you an increase fee?

Re: Credit One?

namvet — Sun, 19 Feb 2012 23:16:23 GMT

@Creditdreamer wrote:
@ namvet: Assuming that I can handle the complexity of timing the payments correctly to achieve the 10% on only one card thing, would there be any benefits to doing that rather than having under 30%?

Nope! All your need is time and management of your credit. Forget about all that other stuff. Your credit score will grow but it's not gonna happen over night.

Re: Credit One?

pipeguy — Sun, 19 Feb 2012 23:21:00 GMT

Credit One is owned by Credit One Financial is a wholly owned subsidiary of Sherman Financial Group, LLC.

Sherman Financial Group, LLC.also dba : LVNV Funding - Resurgent Capital Services LP - Alegis Group LP - Ventus Capital Services

Do a Google search on LVNV Funding and Resurgent Capital Services.

As long as you are aware of who you are doing business with (Credit One), do what you think is best. IMO it's a deal with the devil.

Re: Credit One?

llecs — Mon, 20 Feb 2012 00:20:12 GMT

Both DW and I have/had Credit One. Despite a zillion baddies and no postive accounts except for a car note, Credit One extended a pre-approved offer for a CC just when I started my quest here. They came at the right time. They weren't bad. The fees were bad (though better post-CC Act), but I never had any issues other than that. They gave both DW and I regular, unsolicited CLIs at $100-$250 and they weren't that shabby. I closed mine (see the celebration of life montage) and DW still has hers, though it's on the chopping block very soon. Her automatic CLIs also stopped coming, but she keeps getting offers for $100 CLIs at a $20 fee. No way.