Why I didn't apply for Venture

Anonymous · ‎07-06-2015

Capital One is quite the quirky credit card company.

They get credit where its due:

Lending to folks with subpar credit.

Getting folks into the rewards game that normally arent creditworthy enough.

Helping folkds rebuild their credit.

Forgiving the folks that have burned bridges with them previously.

Amazing reward system. Super simple. Can just use it, pay it, and forget it. Rewards come fast and redeem easy. Their reward structure should be duplicated more often.

Yet they are becoming increasingly lower on my radar. What is it about this company that rubs me the wrong way? They did extend credit to me with scores in the low 600's. And after only 6 months they gave me the promised $500 increase and tacked on an extra $2000 for making many payments. Maybe I am just being cocky after using all this myfico information to get several soft pull CLI's.

It's not right for this company to do what they do. Triple pulls every time a person applies for a product. Unless the person tries to outsmart them by freezing a bureau. This is not normal behavior. Freezing a bureau is for identity theft! (Guys I am not against folks that do I, I have debated it myself) Capital one is THE ONLY company that triple pulls. Chase sometimes double pulls. But Crapital One is the ambivalent lender here.

You don't get a person in the door with a secured card. Let them use it, PIF many times. Then because of denying them sufficient CLIs, encourage them to apply for another product. I am not talking about myself. I know folks outgrow products including me.

What is happening is this. In just 30 days from being on this forum (actively participating, have lurked for years), I have noticed some tendencies. There are of course exceptions to this. Without trying to sound all judgy here, I have noticed many folks here with duplicate cards. At first I figured it was because they were married. Or like my relative that had an old HSBC/Household bank card converted and basically left in eternal limbo. But no. Folks go on and apply. And because of this triple pull, they feel compelled to make the most of it. What do they do? They apply for multiple C1 products to take advantage! C1 needs to immediately stop offering extra products to consumers that already have more than one. Again there are always exceptions. Maybe a person wants a duplicate quicksilver card to keep things organized. I just think its unfortunate/unfair/unbecomming that a person has 2 quicksilver cards, a Venture, and even a capital one platinum. This is not the same as Citibank. Their rewards and cards are VERY diverse. Capital one is basically 1.5 or 2% or none. It is VERY redundant.

This system they have developed is so insane. The triple pull makes the person try to maximize it. The person went ahead and applied after countless attempts at CLIs or a nontransparent method of PCing. The person ends up with lower limit cards, duplicates, and tons of inquiries. There score is then lowered often to the point where c1 is the only bank that will offer them credit.

I almost pulled the trigger on a Venture. The 5k-10k maybe even 15k limt was entycing as ever. Not to mention the $400 bonus. But there are better cards for travel rewards. You would have to spend ten grand a year on it alone just to make it remotely nice.

I am very happy for the folks that have been approved for a Venture. They were in shock with the limits. I would gamble most consumers outside of myfico that are approved will end up making buku bucks in interest. Maybe its done more good than bad for credit scores for folks here. I am not trying to make enemies from this crusade of righteousness. I just would like for folks to think twice before they click submit. If and when I apply for venture, it will be a grand total of 9 pulls. Sure people have been denied/applied and used up more inquiries. It's not right for Capital One to A. Triple Pull and B. Encourage excessive product redundancy. Do like AMEX does and let them get the bigger limits if thats what they want. Offer personalized products tailored to meet the needs of the consumer.

My PRG will do a darn good job of filling the gaps for now (other than cash or another card there was really no way to even contemplate an international trip). If they would approve someone like me, that says a lot. Especially since it was based on a month old report with lower scores.

Capital One, if you are reading this, listen up. Once your customers have proved themselves, ease up on the inquiries. Let them make the decision if they want to stay with you. Don't force them into it by tarnishing their scores. Give the folks who want in with good/excellent scores a break; just single or double pull them. Bottom line this isn't just about inquiries. But if they stopped this entrapment I would think a lot more of them!

Mods please move this if it doesnt belong here. I would hate for this not to have much exposure. And please if this is not appropriate or broke any rules, please close and delete this. Thank you all so much. Ducking for cover now.

Anonymous · ‎07-06-2015

Hey, to each his/her own. I have no issues with someone getting 10 Cap One cards if that's what they want or feel they need, and Cap One is comfortable approving them. Would I personally want duplicate Cap One cards, absolutely not, and I have 1 QS and 1 Venture. But that's my choice. I won't judge other's. Most of us know what we're getting ourselves in to when we app Cap One. Are the triple pulls beneficial to us, absolutely not. Are they beneficial to Cap One, I'm certain they are otherwise they wouldn't do it. They obviously feel it gives them a better picture of an applicant's credit and it may help them offer Better CL's. I don't know. I'm only guessing. Each lender is unique and you either accept the way they do business and then choose the products they offer or you steer clear. That's my take. Best of luck, when and if, you choose to app Cap One.

Anonymous · ‎07-06-2015

Triple pulling is part of what allows Capital One to fill its role as a sub-prime lender without charging the type of crazy fees that Credit One does. Their cards are not as good as prime cards but they dont target prime customers, just offer big CLs to the ones who apply anyway.

If it's not for you then it isn't but they seem to be hitting an underserved market and offering them a valuable product that comes with non-financial costs to people who are more willing to "pay" nonfinancial costs.

Anonymous · ‎07-06-2015

I understand what you're saying, but I love Capital One. I don't like the triple pulls, and I only have 2 of their cards (one travel, one student). But they were the first one to give me a chance when nobody else (but store cards) would. They have been very good to me, and so it cost me a total of 6 HPs for those 2 cards, but to me it was well worth it. The HPs will disappear from my credit reports in 2 years, but their cards will be with me much longer.

Revelate · ‎07-06-2015

@Anonymous wrote:
Triple pulling is part of what allows Capital One to fill its role as a sub-prime lender without charging the type of crazy fees that Credit One does. Their cards are not as good as prime cards but they dont target prime customers, just offer big CLs to the ones who apply anyway.

If it's not for you then it isn't but they seem to be hitting an underserved market and offering them a valuable product that comes with non-financial costs to people who are more willing to "pay" nonfinancial costs.

TBH I don't know why more of the traditional subprime lenders don't pull all 3. I know my former employer absolutely should've but didn't, might've reduced some of the first payment defaults we saw.

While it's becoming less and less common, there are still a slew of different tradelines in the traditional subprime bracket which don't report to all bureaus. Parking tickets for example often wind up on TU only as one obvious one from a couple of reports here.

I honestly don't understand people's hatred of inquiries, if you want credit, suck it up... they don't hurt badly, they don't last that long, and frankly they stop counting after you get to a certain number anyway, it's not linear drops, diminishing returns like virtually all negatives in the algorithm. If you don't want to spend 3 pulls for a Cap 1 Venture, that's your choice, but it's one I simply don't understand: if the tradeline makes sense for you, 1 inquiry per bureau is hardly worth mentioning when it comes to credit building.

Anonymous · ‎07-06-2015

@Anonymous wrote:
Triple pulling is part of what allows Capital One to fill its role as a sub-prime lender without charging the type of crazy fees that Credit One does. Their cards are not as good as prime cards but they dont target prime customers, just offer big CLs to the ones who apply anyway.

If it's not for you then it isn't but they seem to be hitting an underserved market and offering them a valuable product that comes with non-financial costs to people who are more willing to "pay" nonfinancial costs.

I get that credit one has its sole purpose. And maybe Capital One is a little more diversified than the average lendor. But you have to realize their tactics of keeping people in their place. I know the consumer should be informed before making decisions. But the fact is they arent always.

Credit One charges insane fees sometimes. But for me they only charged me $40 a year and 19 percent interest. I know they over charge for credit limit increases and things like that. And credit one makes a ton of money. But they don't offer other options like capital one does. If you are going to be a big institution like that you should at least take some of the customers interests into consideration.

Credit One doesn't keep people in their place. They serve one primary purpose. Offering subprime product/help rebuild. People know when its time to leave Credit One. I just dont think the same goes for Capital One. They may not know when its time to leave Capital One.

Anonymous · ‎07-07-2015

@Revelate wrote:
@Anonymous wrote:
Triple pulling is part of what allows Capital One to fill its role as a sub-prime lender without charging the type of crazy fees that Credit One does. Their cards are not as good as prime cards but they dont target prime customers, just offer big CLs to the ones who apply anyway.

If it's not for you then it isn't but they seem to be hitting an underserved market and offering them a valuable product that comes with non-financial costs to people who are more willing to "pay" nonfinancial costs.
TBH I don't know why more of the traditional subprime lenders don't pull all 3. I know my former employer absolutely should've but didn't, might've reduced some of the first payment defaults we saw.

While it's becoming less and less common, there are still a slew of different tradelines in the traditional subprime bracket which don't report to all bureaus. Parking tickets for example often wind up on TU only as one obvious one from a couple of reports here.

I honestly don't understand people's hatred of inquiries, if you want credit, suck it up... they don't hurt badly, they don't last that long, and frankly they stop counting after you get to a certain number anyway, it's not linear drops, diminishing returns like virtually all negatives in the algorithm. If you don't want to spend 3 pulls for a Cap 1 Venture, that's your choice, but it's one I simply don't understand: if the tradeline makes sense for you, 1 inquiry per bureau is hardly worth mentioning when it comes to credit building.

A person that realistically could have 10 or 12 inquiries would have something like 16+.

So yes they do hurt badly. It ends up causing denials for lower interest products, thus costing consumers more money.

Its not just about the inquiries. Its the limits, CLIs, its everything.

Its not always Capital Ones fault though.

Again this is not meant to be attack Capital One day. I just want to make sure people realize some of these things if they havent already. Keeping it open to both sides.

Anonymous · ‎07-07-2015

@Anonymous wrote:

I get that credit one has its sole purpose. And maybe Capital One is a little more diversified than the average lendor. But you have to realize their tactics of keeping people in their place. I know the consumer should be informed before making decisions. But the fact is they arent always.
Credit One charges insane fees sometimes. But for me they only charged me $40 a year and 19 percent interest. I know they over charge for credit limit increases and things like that. And credit one makes a ton of money. But they don't offer other options like capital one does. If you are going to be a big institution like that you should at least take some of the customers interests into consideration.
Credit One doesn't keep people in their place. They serve one primary purpose. Offering subprime product/help rebuild. People know when its time to leave Credit One. I just dont think the same goes for Capital One. They may not know when its time to leave Capital One.

Why would anyone have to leave Capital One? Sure they have some cards that won't grow and stay "sub-prime" but they do have prime cards too that I think are just as good (if not better) than other prime lenders. And Capital One makes it easy to get one of their prime cards once your credit profile warrants it. I don't think it's fair to call Capital One a sub-prime lender. Yes they do have sub-prime products, but that's not all they have. I would say they are a diverse lender.

Anonymous · ‎07-07-2015

@Anonymous wrote:
@Anonymous wrote:

I get that credit one has its sole purpose. And maybe Capital One is a little more diversified than the average lendor. But you have to realize their tactics of keeping people in their place. I know the consumer should be informed before making decisions. But the fact is they arent always.
Credit One charges insane fees sometimes. But for me they only charged me $40 a year and 19 percent interest. I know they over charge for credit limit increases and things like that. And credit one makes a ton of money. But they don't offer other options like capital one does. If you are going to be a big institution like that you should at least take some of the customers interests into consideration.
Credit One doesn't keep people in their place. They serve one primary purpose. Offering subprime product/help rebuild. People know when its time to leave Credit One. I just dont think the same goes for Capital One. They may not know when its time to leave Capital One.
Why would anyone have to leave Capital One? Sure they have some cards that won't grow and stay "sub-prime" but they do have prime cards too that I think are just as good (if not better) than other prime lenders. And Capital One makes it easy to get one of their prime cards once your credit profile warrants it. I don't think it's fair to call Capital One a sub-prime lender. Yes they do have sub-prime products, but that's not all they have. I would say they are a diverse lender.

Not once did I say Capital One is strictly sub-prime. I don't even want to get into that whole debate of whats prime or not. Thats not what this is about. I love capital one to a point. They have great products and rewards. But their tactics can negatively impact an ill informed or impulsive consumer. Then again, so can some of the other lendors. I just want to have an open discussion about the pros and cons of Capital One.

Why would anyone have to leave capital one? I have seen several folks become gridlocked onto either A. An antiquated product that does not suit their needs B. Not get adequate CLIs despite their scores/payment histories, the list goes on.

Anonymous · ‎07-07-2015

Well you said people know when it's time to leave Credit One, but they might not know when it's time to leave Capital One; and I asked why would anyone need to leave Capital One? Perhaps I could have worded the question better; why do you feel people would need to leave Capital One?