Capital One Classic Card

pcman1985

Back in August last year my fiance! went into financial troubles and put her phone and laptop on buy back in one of those pawnbroker shops (the one that probably pays you the lowest amount for your products - you know the one!).

I applied for a credit card through different providers and was declined by a few and was accepted for Capital One. I was hoping for a limit of minimum £300 to get both items back. Of course I was given the standard staring limit of £200.

Once card was received I had to sell some items and got £120. Went into the shop to buy back the items and of course they wanted the full payment in cash. Now I know I am going to be lectured but I foolishly withdrew £180 to pay for the rest of it knowing I would be charged 3% + interest on top.

After a couple months of paying the minimum + about £10 on top (so talking £15-20 a month) I had enough money and paid the card off in full + the small amount of trailing interest the next month. I then did not use the card for a couple months. After that I thought it would look better on my credit file if I spend a small amount on the card every month.

I now have been spending £40-80 every month on the card (to keep around 30% utilization) and paying in full after the statement comes. I am still on the £200 limit after about 9 months. Is this usual?

I was hoping by now that the limit would be increased so that I could put more of the day to day spending on the card without having too much utilization. I would like a limit of around £1200-1500. I don't need a higher limit but it would be nice to put say food shopping, gas, electric and travel on the card and pay off in full every month. I would say this would be about £300 to £400.

I did try applying for a credit card through my own Building Society Nationwide in February time. I was given the quote of £1000 and 15.9%. I was declined probably due to the electoral roll had not updated then. MY credit rating I would say is Fair. I did have a couple missed payments on Virgin media about 2 years ago but made them back up in a couple months. I have two phone contracts, TV with Virgin Media, Phone with Broadband with Primus Saver.
On settled accounts there are two laptops, a £1000 loan with Nationwide, and some other phone contracts. All have been paid in full.

About a month ago I tried another quote with Nationwide and now offered £2000 and 15.9% for their Select Credit Card. I did not apply yet as it has not been 6 month since I was declined.

Do you think Capital One would increase my limit any time soon? How long after was your credit limit increased?
Or do I wait until August and see what Nationwide say (What are the chances of acceptance with £2000 and 15.9% being quoted).

I estimate my earnings to be £10-£12K this year.

john1002

Capital one are well known for small and not very often credit limit increases on there classic accounts, as for strategy to get a limit increase no body knows what works for one may not work for others. They will look at your credit file on a monthly basis and take into account this and your own account history with them and any commercial decision at the time, some magical formula will then let the computer know if you deserve one.

It took me 9mnths to get a credit limit increase and then nothing since for over 18mnths.

John

Stereo

Hi pcman1985,


I spent 4 years working for Capital One and can tell you that it basically comes down to how the company is doing. So for example, they would spend months declining or giving everyone low limits, and then a few months of doing the exact opposite. I applied for a Capital One card 2 years ago expecting the standard £200 starting limit. Was shocked to find out they had given me £1,000 as I was in the process of rebuilding my credit. It took 12 months before getting a letter from them saying they were increasing it to £1,250.


On a side note, I applied for a Luma card back in January (which is managed by Capital One). 1 month later I got a letter from them asking me if I wanted to consolidate my two cards. Considering I got a limit of £1,000 with Luma, I said yes. Now my limit is at £2,250 in just under 2 years. It's a little known fact, but Capital One do allow you to consolidate more than one card. Try applying for a Luma card and then give them a call a couple of months later and ask them about it.