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  • FIRST POST
    • Clare.12345
    • By Clare.12345 15th May 18, 11:31 AM
    • 2Posts
    • 0Thanks
    Clare.12345
    Capital One increased credit limit on defaulted card
    • #1
    • 15th May 18, 11:31 AM
    Capital One increased credit limit on defaulted card 15th May 18 at 11:31 AM
    Hi


    I took out a Capital One credit card about 12 months ago. The credit limit was originally £500. I have missed some payments due to financial difficulties and the card has defaulted and I am unable to use it which I understand. However, I received a letter with the outstanding amount and it says underneath that my credit limit is £1000 which is incorrect. This means that the amount I owe is significantly higher. I did not agree to a limit increase.

    What can I do?


    Thanks
Page 1
    • zx81
    • By zx81 15th May 18, 11:34 AM
    • 18,600 Posts
    • 19,856 Thanks
    zx81
    • #2
    • 15th May 18, 11:34 AM
    • #2
    • 15th May 18, 11:34 AM
    It doesn't change the amount you owe. You owe a balance, not a limit.

    You probably missed the limit increase letter - you did not have to agree to it, but you could have rejected it.

    Tell them you would like a lower limit - not that it will make any difference on a closed card. If anything, you would rather it was higher.
    • PeacefulWaters
    • By PeacefulWaters 15th May 18, 12:31 PM
    • 8,318 Posts
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    PeacefulWaters
    • #3
    • 15th May 18, 12:31 PM
    • #3
    • 15th May 18, 12:31 PM
    I did not agree to a limit increase.
    Go through your statements. It'll be on there somewhere.
    • marliepanda
    • By marliepanda 15th May 18, 1:43 PM
    • 6,566 Posts
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    marliepanda
    • #4
    • 15th May 18, 1:43 PM
    • #4
    • 15th May 18, 1:43 PM
    You owe what you spent on your card (plus interest, possible fees)

    Your card limit does not vary depending on what you have spent, you owe what you have spent.

    If your owed amount has gone over your limit of £500, them increasing it to £1k may have avoided over limit fees.
    • Clare.12345
    • By Clare.12345 15th May 18, 3:42 PM
    • 2 Posts
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    Clare.12345
    • #5
    • 15th May 18, 3:42 PM
    • #5
    • 15th May 18, 3:42 PM
    Well I donít understand how I have spent £100 and now owe £298. The previous letters Iíve had told me I owe £198. Not £298!
    • zx81
    • By zx81 15th May 18, 3:44 PM
    • 18,600 Posts
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    zx81
    • #6
    • 15th May 18, 3:44 PM
    • #6
    • 15th May 18, 3:44 PM
    Fees and interest would be a good bet. Look at your statements or give them a call.
    • dresdendave
    • By dresdendave 15th May 18, 7:27 PM
    • 776 Posts
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    dresdendave
    • #7
    • 15th May 18, 7:27 PM
    • #7
    • 15th May 18, 7:27 PM
    Well I donít understand how I have spent £100 and now owe £298. The previous letters Iíve had told me I owe £198. Not £298!
    Originally posted by Clare.12345
    As suggested by other respondents, examine your statements and you will see the interest charges and fees which have caused the balance to grow. One thing for certain is that a credit limit increase has no influence whatsoever on the outstanding balance.

    If the statements don't seem to add up then post images of them, with personal details edited out, and board members can advise accordingly.
    • marliepanda
    • By marliepanda 16th May 18, 7:52 AM
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    marliepanda
    • #8
    • 16th May 18, 7:52 AM
    • #8
    • 16th May 18, 7:52 AM
    From memory failing to make a minimum payment on a capital one card causes a £12 fee. Look at your statements and you will see where fees were added. Im also assuming you have some interest on there as well. Often failing to meet the minimum payments means youve broken the contract and lose your right to any promotional rate, so youve got probably 12 months worth of interest and late payment fees

    As said above your limit on your card doesnt mean anything at all in relation to this. You seem to think you can pay £100 on a card, fail to meet your payments and still come back to a £100 balance 12 months later which is not how these things work.
    • Sncjw
    • By Sncjw 16th May 18, 8:22 AM
    • 1,916 Posts
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    Sncjw
    • #9
    • 16th May 18, 8:22 AM
    • #9
    • 16th May 18, 8:22 AM
    You say previous letters said you owe £198 but you have spent £100. Have you spent the £100 since last letter stating £198
    • marliepanda
    • By marliepanda 16th May 18, 9:20 AM
    • 6,566 Posts
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    marliepanda
    You say previous letters said you owe £198 but you have spent £100. Have you spent the £100 since last letter stating £198
    Originally posted by Sncjw
    I mean I haven't seen a particular amount of reason to doubt this, but surely the OP can see this particular mathematical situation.

    It must be that they have only physically spent £100 on an item but with fees etc its now almost 3x that.

    Surely, SURELY, it can't just be 'why has my balance gone up £100 when I've spent £100' because if it is I quit life.
    • MEM62
    • By MEM62 16th May 18, 11:05 AM
    • 1,720 Posts
    • 1,324 Thanks
    MEM62
    Well I don!!!8217;t understand how I have spent £100 and now owe £298. The previous letters I!!!8217;ve had told me I owe £198. Not £298!
    Originally posted by Clare.12345
    That what statements are for. What do they say?
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