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Question By
etacatinae11

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There is a fee of $29.00 for older accounts
What you see on capitalones website is not 100% accurate . The no yearly fee is only for new members who applied for the secured platinum card. First got my card in July 2014 when their was a $29.00 fee and was just billed again for the same amount. Called them and asked about it and was told will have to pay this fee as long as I have this card.... Hardly seems fair as I never missed a payment... Think will drop this card before the next annual payment

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$29 is better than most annual fee cards

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Regardless of how you come up with the money to pay your debts, your credit reports are showing the rest of the lending world that you have reporting accounts in your name and you show a history of either making sure your payments are made on time as agreed or if you are late.  Giving lenders an idea of what you may do if they loan to you as well.

That's the point of credit, to show if you make payments on time as agreed…. Not if you have the ability to pay them.

So to have it, you need to show you know how to use it responsibly.  And if you do have it, keep it open, because open accounts are like wine to your credit reports, the older it is, the better it is.  Which is why you want a credit card that doesn’t close at the end of a set number of months like an auto loan. 

Lots of people have a secured credit card or a card with annual payments in their wallets and on their credit reports, even after they qualify for other, better, unsecured cards.  The reason people do this is because they know they still get credit for having the accounts open and reporting positive monthly activity.  That kind of reporting only makes their credit go up the older the account becomes.  Even if that bank doesn’t offer them a better unsecured card, they can still take the positive credit history of that secured card to another bank to demonstrate to the creditor that they are already a good credit risk and apply for more credit there. 

As I said above, you just need to decide on how you want the rest of the world to see you when they check your score… is the $29 annual fee enough to hold that account open with a positive report?  Or are you willing to take the drop in score now and move on to save that $29 annual fee?

Reply by
etacatinae11

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23 People Helped

Too answer your question no it's not worth it to me to hang on to this card for the $29.00 fee...already have a unsecured card  for the past 2 months without fees. By June of next year should have earned enough credit with it that could drop this card without to much drop in credit. Without the fees would keep it ... But with only 500.00 credit line it would not be much miss.

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No doctor! Not my heart, my tonsils!

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If a doctor was about to operate, I would hope he at least read the details in my medical chart.  I mean if I was there to get my tonsils taken out and he decides to do open heart surgery, we got a REALLY big issue of mal-practice, right?  Okay your Credit isn't quite so life threatening, but the details matter more in your credit report than some things in life because those details could end up haunting you for a really long time.

Since about 2009, credit cards have been required to produce those details in easy-to-read format so consumers don’t call back a year later and say, “I didn’t know about that rule.”  And Capital One is one of the best, most detailed, and transparent credit lenders in this field because they were some of the first to place those changes in their term sheets. 

The charge you are speaking about is called an annual fee and is ALWAYS listed with-in the first 5 blocks of the terms, outlined with a BIG black block around it to make sure you see it, and specifically tells you the amount in that block with big bold print.  To act like it was never there in the first place only shows that you completely missed every detail of the account before you applied; so now you have to pay the $29 annual fee (pretty low fee by most standards, honestly) to keep the good credit history reporting on your credit and show the rest of the lending world that you are a responsible debtor who not only reads your card details, but pays as agreed.….. Or you can close the account and watch your score go down because you were too lazy to read those details in the first place and can’t afford $29 annually to keep your score up. 

I guess you just need to decide on how you want the rest of the world to see you when they check your score in the 7 years after you close the account.  Will they see that you accepted and a card with a $29 annual fee with at least 1 year of good payment history of paying as you agreed?  Or will they see your closed account and ask you why you closed it?  I guarantee if you tell a lender that you closed it because of the $29 annual fee, they may have a few opinions about that and your character, even if they don’t tell you directly.

Reply by
etacatinae11

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23 People Helped
Helpful to 1 out of 1 people

I knew bout the fee before I got th card that's not the problem .... They changed the terms afterwards for new members only... They could very easy waive that fee for us older account holders who are in good standing

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