Help!! Capital one screwed me and closed my account

[Anonymous]

I got the secured cap one card in August and my December payment was my 5th one for credit steps increase. I check my account and see my account is closed. I call and the rep said it was for returned payments.

Backstory: I’ve paid my account in full every month. Late December I had issue where i places stop payment on my back for Direct TV and my bank in error included capital one because the payment amounts were the same. Since i make multiple payments to my account monthly, the payments that were returned were in between billing cycles so nothing major. All my payments have been on time and in full.

Now the rep said it’s nothing they can do, i would have to reapply. I did and was denied. Should I call redetermination line?

This is going to kill my score. I’m so pissed! Any other advice ?

[Anonymous]

Write a nice letter to the EO. Don't say things like "screwed me" and whatnot, they're the people who are going to help you. If you can explain what you explained here about having issues with DirecTV's unauthorized billing (if such is the case, use this wording) and get a letter from your bank, if possible, that admits their incorrect blocking of payments, I think you'll be in good shape despite your scores.

If they call you back and reinstate your account, then ask if they can remove the HP's as well. Doubtful, but it can't hurt to ask.

If they don't reinstate your account, it's not a terrible thing. Cap1 probably won't unsecure like Disco will once your scores are up some time after 7 months.

Best of luck OP!

[Anonymous]

Sounds like your bank screwed you. Just sayin....

[CreditCuriosity]

Sorry to hear.. Cap1 doesn't play around with bounced/returned whatever you want to call it payments whether rebuilders or solid profiles.  They have cracked down heavily recently especially with the credit bubble at 4.4 trillion dollars which isn't a good thing for any bank.  Good for interest, but eventually it is going to get ugly for many bank such as the 2008 which the shiz hit the fan.  So they are just covering them selves.

Best bet is to write the EO and don't use words like screwed etc and make it sound professional and you hopefully will get a call to explain and plead your case.  Best of luck

[Shadowfactor]

I had a similar issue with cap 1 linking a old closed credit card I had with them to my new card. My ex’s bank information was on the old card and she banked with the same bank I do now. So I made a payment out of her account thinking it was mine. Payment was returned and cap 1 froze my account and wouldn’t remove the hold until my ex said she allowed the payment. Tried about 10 times through regular customer service. No go

Had to email the EO office and explain it. The researched it, removed the hold the same day and apologized. Write them an email and get a letter from your bank

[Anonymous]

Best bet is to find a secured card through a credit union. Many of them offer rewards and some graduate. Go in and talk to a loan officer and explain your situation. 

[happypill]

I had a tough time following your story but it sounds like Capital One did exactly what you would expect them to do.  If anyone screwed up (or screwed you) it was your bank or yourself.  That said, I'm not sure why you think this will hurt your score.  A closed account should have negligible impact.  If you're worried about utilization, open a secured account elsehwere.

[Anonymous]

---

@happypill wrote:

I had a tough time following your story but it sounds like Capital One did exactly what you would expect them to do.  If anyone screwed up (or screwed you) it was your bank or yourself.  That said, I'm not sure why you think this will hurt your score.  A closed account should have negligible impact.  If you're worried about utilization, open a secured account elsehwere.

---

One of the problems we all have (well, all except me!) is we tend not to think of the other side.   So my guess would be that issuers receive lots of calls "explaining" returned payments in various ways, when in many cases it is the fault only of the customer.   So OP is an innocent victim (although if I was listening to the story I might have doubts!) but the issuer isn't going to spend a lot of time researching it, as a secured card customer has very little value at present and unclear about future value.   If they wrongly lose you, no big deal to them.  So you need to adopt the same attitude, get a card from someone else.

It is probably worth contacting the EO, but just once.  The reward/time-taken ratio is pretty small.

[Anonymous]

So, everybody else has offered great advice. But I am going to beat a dead horse anyway 

What is the worst thing that has happened here really? Yes, your Capital One secured card has been closed; but you have two other great (and better) cards with USAA and Discover. The loss of the $200 credit line from Capital One won't hurt your balance to credit line ratio as long as you keep your reporting balances very, very low on USAA and Discover each month. 

When you contact the Capital One EO I would let them know that you were ill-advised by a Capital One CSR to reapply when that CSR knew that a new account would likley be declined until at least the first card situation was resolved (balance paid to $0 and deposit returned). But this denial might be a good thing. You already had three secured cards, why add a fourth that will lower your Average Age of Account? The end goal in contacting the EO should be to get your current account reinstated; a new account is not want you need. I would also suggest in the meantime getting your bank to provide you with a letter, on bank letterhead, that they made this error. This letter could be offered to the Capital One EO in the off chance they will consider the original account to be reinstated. 

I get that you want to re-establish your credit; but you need to take a step back for a few months-you have too many secured cards. Let those cards do their thing and by summer you should be getting approved for some unsecured cards. 

I would also recommend ending auto-pay to your creditors/utilities. You might want to take more control by initiating payments yourself so that situations like this do not arise.

[arkane]

---

@Anonymous wrote:

I would also recommend ending auto-pay to your creditors/utilities. You might want to take more control by initiating payments yourself so that situations like this do not arise.

---

+100 to this.

Creditors want their money back so they won't hesitate to hassle you for any amounts you owe. However trying to get your rightfully earned dollars returned due to an excessive/error/whatever autopay screw up payment is like pulling teeth. I've never used autopay and never will after one too many horror stories from my mom.