Bad treatment for long time great customers
I filed for bankruptcy in mid 2018. I was advised by a business associate that Capital One helps rebuild your credit. They do however, then they tear it down. THE GOOD STUFF: My credit score did go up past 710 with this credit card. After many years of poor credit, I was elated to be in such good standing. I had excellent payment history with not only this card, but other revolving loans. My credit limit was increased by Cap1 three times up to $4000. That in itself validates my relationship that I HAD with this institution. I paid off two vacations. I loved this card.
THE BAD STUFF: By late 2022 I had been an excellent customer for 4 years. Unfortunately, I had to take unpaid medical leave for a few months. Being the excellent customer I was, I requested an extension. I was enrolled in the financial hardship program in December of 2022. I asked the representative that approved the extension, "Will this affect my credit score?" I was told, "No It wouldn't be reported to the credit bureaus because it was a financial hardship program."
Fast forward to January 2023, I get a notice in the mail that another credit card, ALSO with excellent payment history had been closed due to recent credit score changes. Upon review of my Experian report, low and behold Cap1 reported late payments, damaging my credit score. Adding insult to injury, causing OTHER creditors to see me as a financial risk. Ultimately, my total available credit decreased, and my usage percentage increased. Key factor in credit scoring.
Of course, I called, and they had no idea why I was told it wouldn't affect my credit. They would do nothing for me. I was instructed to call the credit bureaus and file disputes however, there was no guarantee the late payments would be removed as they were, technically late. I requested, given the excellent relationship, if they could they at least lower the APR from 29%. They refused that as well. Excellent way to treat an excellent customer in bad health and a financial crisis.
The remainder of the extension finished, and I call again to see what was available as I was now back to work however, the payments now due were double. THEN they offered to lower my APR to 9.9 for 8 months with payments of $80 a month. It took financial crisis and becoming severely behind for them to be concerned. What prompted me to call again was, after looking at recent payments the interest charge INCREASED the following month although the balance DECREASED upon payment. The rep couldn't even understand what I was saying about APR calculations. She just continued to throw numbers at me in an attempt to confuse me. Even after I explained to her I worked for Bank of America and Chase card services in the past, I know how this works. This is the biggest problem with outsourcing financial customer service with scripted replies and communication barriers. Mistakes will be inevitable.
I will have this card paid off, will close, and will never use them again. And if anyone asks, I will advise not a good idea for long term. Just use it to bump your credit score and then cut it up. It seems the longer you are a customer, the more interest they get from you and the better payment history you have, the worse they will treat you.