Pending charge and statement

Anonymous · ‎08-05-2017

Hello, I created and account to ask this here figuring it's the best place to find the answer without having to contact the credit card company. (Capital One).

I currently have a deposit hold pending with Enterprise in the amount of $200, and that $200 maxes out my credit line completely with like 3 cents to spare. (I know, I need to pay down my balance!)

Now, it's Saturday so nothing will clear till at least Monday, and Monday is the 7th when coincidentally, the new statement cycle comes out. So i'm wondering how this works. Will the $200 pending be counted as a charge or not because if so, then i'm concerned i'll be hit with an overlimit fee.

But on the other hand, it's not really a charge, but a hold, so it shouldn't count as a charge and I don't THINK i'll get hit with that fee. So i'm just confused how this all works. It's just lousy timing that I rented so close to my statement cycle and while so close to the max!

I hope I explained this all correctly. I've had 100% on time payments for over 2 years, never late on anything and working to rebuild my credit after Bankruptcy in 2015, so the last thing I want is an Overlimit fee! I'm at 621 credit score and trying hard to get up to 700 and don't want any "dings".

Any help is appreciated!!!

bz386 · ‎08-05-2017

There is no such thing as an over limit fee. Also, a hold will remain a hold even if a statement cuts.

Anonymous · ‎08-05-2017

bz386 wrote:

There is no such thing as an over limit fee. Also, a hold will remain a hold even if a statement cuts.

Yes there is such thing as an over limit fee. To the second part of your reply, if it's considered a just hold, then the $200 will not be applied when computing the interest as well?

CreditInspired · ‎08-05-2017

+1 Chris
There is indeed such a thing as an Over the Limit Fee on some CCs.

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Anonymous · ‎08-05-2017

@CreditInspired wrote:
+1 Chris
There is indeed such a thing as an Over the Limit Fee on some CCs.

Thank you. I was astounded by the ignorance of that statement, especially here where I thought you guys were the experts on all things credit card related! Maybe I should just wait it out till Monday and see what happens when the statement releases.

HeavenOhio · ‎08-05-2017

I don't think the hold is going to matter unless Enterprise actually claims its money. If it's simply a deposit, I don't think they'll need to do that.

You can't be charged an over-the-limit fee unless you agree to one. The law is written that way in order for card companies to offer the option of going a bit over one's limit rather than having a charge denied. Most companies don't bother with this and simply allow customers to exceed their limits by a small amount before starting to deny transactions. Capital One is among those companies.

So I think the worst case scenario in this case is that your statement will cut with the card maxed out. But I think what'll actually play out is that nothing bad will happen.

Kforce · ‎08-05-2017

If your math is correct, 3 cents to spare, you have no need to worry about over-limit fee.

Most CC's put a 3 business day hold on charges before posting to account.

I have seen pending charges post 1 day early, 2- days if they fall on the statement cut date.

(Citi, Barclay Card), however most wait a full 3-days (FNBO, All my CU Cards, BofW, US-Bank)

* Have no Capital One card for reference * Worst case;

If you made the purchase on Friday you are on the fence if the statement cuts Monday (2-days),

If you made the purchase Saturday you are safe.

3 out of 4 cc companies you are safe (3-day holds)

Anonymous · ‎08-05-2017

@HeavenOhio wrote:
I don't think the hold is going to matter unless Enterprise actually claims its money. If it's simply a deposit, I don't think they'll need to do that.

You can't be charged an over-the-limit fee unless you agree to one. The law is written that way in order for card companies to offer the option of going a bit over one's limit rather than having a charge denied. Most companies don't bother with this and simply allow customers to exceed their limits by a small amount before starting to deny transactions. Capital One is among those companies.

So I think the worst case scenario in this case is that your statement will cut with the card maxed out. But I think what'll actually play out is that nothing bad will happen.

Thanks for the well informed reply. Even if Enterprise did claim it as money, I factored in the complete pricing $28.99 rental + the $200 hold deposit to still be under my total credit limit, (hence the 3 cents currently showing as "available") So technically, i'm not over my limit with any charges OR pending holds.

It's the interest that will be computed on Monday that will push it over the limit so I but I think from your reply, I can gather that it won't because holds aren't counted as chargable interest and I should be fine. Thanks again.

I found out just yesterday that Alamo doesn't charge a hold deposit and they only hold cost of the rental, and since I rent a car once a month for errands, i'll just switch to them from now on and not let my credit line be held hostage to these companies.

Anonymous · ‎08-05-2017

@Anonymous wrote:
@CreditInspired wrote:
+1 Chris
There is indeed such a thing as an Over the Limit Fee on some CCs.
Thank you. I was astounded by the ignorance of that statement, especially here where I thought you guys were the experts on all things credit card related! Maybe I should just wait it out till Monday and see what happens when the statement releases.

Well he's partially right. Over the limit fees can only be charged if you agree ahead of time. Unless you have proactively opted in ahead of time to allow Capital One to process charges that exceed your limit, then you can not be charged a fee. The laws were changed by the Credit Card Act so very few over limit fees have been assessed since 2010.

Anonymous · ‎08-05-2017

@Anonymous wrote:
@Anonymous wrote:
@CreditInspired wrote:
+1 Chris
There is indeed such a thing as an Over the Limit Fee on some CCs.
Thank you. I was astounded by the ignorance of that statement, especially here where I thought you guys were the experts on all things credit card related! Maybe I should just wait it out till Monday and see what happens when the statement releases.
Well he's partially right. Over the limit fees can only be charged if you agree ahead of time. Unless you have proactively opted in ahead of time to allow Capital One to process charges that exceed your limit, then you can not be charged a fee. The laws were changed by the Credit Card Act so very few over limit fees have been assessed since 2010.

Thank you for elaborating. I just did some Googling and learned a little more about it. I wish the other person would have explained it like this rather than making a blanket statement like "There's no such thing as an over the limit fee". In any case, I think i'll be fine and there should be no extra fees accessed. Since the bankruptcy 2 years ago, i've been extremely diligent about ensuring everything stays within limits and everything paid on time and don't want to do anything to rock the boat this time.