Capital one classic card - over limit?

loony2012

DarkFallout wrote: »

not worthy doing it, you will be charged at least 12 pounds and this will have negative effect on your relationship with them ...

What about the guy a few weeks ago who went over limit 2 months in a row and they said as a "Good" customer they were increasing his limit?

Jules2012

Don't do it.

gowthamj

During new-year week, I used my capone classic a lot because it was the only card I took with me out (no idea why) and I ended up going over the limit because the transactions were posted a day later so I went over by 10 pounds or something. When I logged in and saw overlimit default amount, I secure messaged them and got this reply:

I can confirm that we've approved your transactions with Starbucks and your account went over the credit limit due to these transactions.

Because of this, a £12 overlimit default sum was automatically added to your account.

As a Capital One customer, it's important that you always keep your account within the credit limit. Please be aware that a temporary block has been added and you won’t be able to use your card until you have brought your account up to date.

**I paid all my balances as soon as I got this message

Funny thing is that I got a credit limit raise about a day after the overlimit, so not sure how this works. One question though, does this overlimit default fee show up in my credit report? Also, is this like a particularly bad thing? I have been with CapOne for a year now, and I am thinking about applying for their Progress card - is this going to affect that?

Thanks

MattLFC

If you had the available funds to clear all the balance, why were you continuing to use your credit card to make purchases, when you must have known it would be nearing the limit?? Using the card and clearing is an important and free way to gradually improve your credit record, but running it right upto, and over the limit on multiple purchases has no further benefit, quite the opposite. It may seem like a genuine mistake to you, but they don't know that, they will assume that you were not managing your money well at that point in time.

It may have harmed your relationship with them, because even if they do not mark your credit record, their system will notice that you defaulted on your credit card due to an overlimit, and your chances of getting a Progress card are no reduced. Going over the limit will have done you no good, that's for sure. However, you may still wish to apply for a Progress card, the worst they can do is say no, but imho, I'd waigt a good few months and ensure you don't do anything silly again. Perhaps a call to Capital One themselves may help you establish what, if any effect, going over your credit limit may have on your chances of getting a progress card in the near future.

PhoenixDF

makeupmonster93 wrote: »

Hi, I have a capital one classic credit card with a £200 limit. I'm just wondering what would happen if I needed to go £100 or maybe £200 over my limit for an emergency but could still pay it back before my next direct debit comes out? Also would this have an effect on my credit rating?

If you go over you're £200 limit you will effectively be in breach of your credit agreement with Captial One, you'll incur a marker on your report no doubt and you'll pay them £12 in charges for it as well. Please don't do it! My limit is £200 with them on their progress card, has been for 5 months but its a game of being waiting.

My credit rating was rock bottom 12 months ago and I've finally gotten it up to a respectable average score. Keep a close eye on your finances and don't do anything silly like going 100% over your credit limit as the money isn't yours.

loony2012

This is the 2nd guy who went over limit and forced a limit increase. May try it myself

gowthamj

I have emailed the CapOne about their policy on dealing with overlimit defaults and will post their reply here.

To address the comment about why I went overlimit despite having money in my account. I shopped a lot in that week, and didn't think about my credit limit (it was 300) and as you can see I only went over by 8 pounds.
I paid all my balance back as soon as I saw the overlimit default, so I have paid off my balance before the due date.

I can imagine this affecting my internal rating, but would this affect my credit score or credit rating with the credit agencies?

Thanks!

UsetheFORCE

Although your credit report lists a missed payment as '1' or such, you will now find that a breach will also be recorded in the same fashion so that even if you make the required payment each month, your payment history will read differently.

Pay on time every month for 12 months then it should read

000000000000

However go overlimit every month, while still paying on time, then it should read

111111111111


So it will damage your credit rating and badly in the short term, assuming you don't have much other credit in good standing.

Regards