Capital One credit limit increase.

BugsyBrowne

Its-A-New-Age-Thing wrote: »

i maxed out ALL my credit cards and got an increase from aqua and cap1 progression

Yeah but come on mate maxing out a aqua or cap 1 card ain't quite the same as maxing out a high limit amex or mbna card.

Its-A-New-Age-Thing

star-fire wrote: »

Yeah but come on mate maxing out a aqua or cap 1 card ain't quite the same as maxing out a high limit amex or mbna card.

TRUE still about 4k i owe at present though, sayin that im paid 34 k so its not time to go bankrupt just yet lol

:beer:

djmonsta

I been with capital one since march, when i signed up they said i would get a credit limit increase (current £100) within 3 months if i used my card every month and i didn't go over my limit, on the last week of the 3rd month i went over by 50p but only because my payment cleared 1 day after the £5 minimum monthly payment was due i rang them and they put it back. I haven't gone over since and i'm still @ £100!! Anyone have any ideas? I cant get another card as my credit rating is shot due to foolish behaviour in my younger years.

Toe-Jam

djmonsta wrote: »

I been with capital one since march, when i signed up they said i would get a credit limit increase (current £100) within 3 months if i used my card every month and i didn't go over my limit, on the last week of the 3rd month i went over by 50p but only because my payment cleared 1 day after the £5 minimum monthly payment was due i rang them and they put it back. I haven't gone over since and i'm still @ £100!! Anyone have any ideas? I cant get another card as my credit rating is shot due to foolish behaviour in my younger years.

Try not maxing the card out. Lenders use a formula and they like to see you using 30% of your limit each month. Try that for a few months and see.

fozmcfc

djmonsta, failing to pay the minimum even a day late in your situation isn't going to help.

Capital One have decided to give you a chance, (yes they probably will earn some money out of it as well, before anyone say so). You must keep your end of the bargain and you need to be 110% committed with absolutely no slip ups to improve your rating.

TBH if you are struggling to even manage 1 credit card with a £100 limit and £5 minimum payment, then sorry but you really shouldn't even be considering taking on further credit.

Maybe I'm being harsh and maybe it was a genuine error, but in your position you simply can't afford any errors, if you are to be considered credit worthy again.

BugsyBrowne

Toe-Jam wrote: »

Try not maxing the card out. Lenders use a formula and they like to see you using 30% of your limit each month. Try that for a few months and see.

Don't quite think this is right mate,so if someone has 10k limit he can not go over 3k if he wants an increase.

Toe-Jam

star-fire wrote: »

Don't quite think this is right mate,so if someone has 10k limit he can not go over 3k if he wants an increase.

If your a member of equifax credit watch you can read all about how it works on there. I cant send you the link because you have to log in to look it up.

But you can read this, the information is very similar.

http://www.learnmoney.co.uk/credit-file/basics.html. Read the section on Credit capacity .

chexum

Toe-Jam wrote: »

http://www.learnmoney.co.uk/credit-file/basics.html. Read the section on Credit capacity .

That's a good source Toe-Jam. However, I'm certain it's not that clear-cut with Capital One, especially if this is your only card. After all, they are sub prime lenders, if they considered all the usual factors, they would never give anyone their first Classic

I believe with a very few and/or sub prime cards only, it's better to watch you don't easily exceed spending half of your limit in a month - and it has a more straightforward explanation: If you don't spend more than that, and you pay your statements in full, you're guaranteed to not go over limit - at most half the limit is due at any point, while the other half is not yet on the statement.

Another advice I've seen is not to spend more than the limit in a month, even if you repay ASAP (before the statement). Again, this is often inconvenient with low limits, so I don't think they actually score you down because of it, but if you do this, your credit file for the month could show that with a £200 limit, you spent £300 and paid back £150 - which could look like you went overlimit, but paid it back as fast as you had the chance.

As most cards don't report over-limit conditions if you rectify it quickly enough, there may not really be too much difference on the file - but going over limit could question your ability to manage credit.

System

I cant answer your question but i can speak from my experiance.

I took out a capital one classic and was given £500 limit. on Nov 2009

I have always paid in full every month by direct debit on all my credit accounts (including phone and bank overdraft)

and on August 2010 they put me upto £1000 then in September 2010 upto £1300.