Jump to content

Wondering If Anyone Else Has Tried...


plasticdave
 Share

Recommended Posts

I am in the process of an experiment with my Capital One account.

Capitial One only reports your highest balance as your available limit.

I recently received some purchase checks in the mail. I read over the information carefully before I proceeded... there are no transaction fees, no cash advance fees, use of the checks will be treated as a purchase not a cash advance, use the checks anywhere that doesn't accept credit cards, and YOU CAN EVEN WRITE ONE TO YOURSELF FOR CASH.

With a week and a half left before the statement period, I wrote myself a check for $4900. My limit is $5000 (I wanted to leave a cushion).

I now have the $4900 in my bank account and the purchase check has posted to my Capital One account giving me a $4900 balance.

I realize that initially, my score will probably get dinged for taking on additional revolving debt. My plan is to send the $4900 back as a payment during the next statement period, after Capital One has reported to the bureau.

At that point, they should be reporting a high limit of $4900 with a $0 balance.

Can anyone tell me if they have attemped this and did it work to improve credit score?

Thanks.

After Chapter 7 BK in July 2005, my scores are TU: 688 EXP: 684 EQ: 676

Link to comment
Share on other sites

I initially started doing this last year so that CapOne would report my limit correctly. Now I do it every month so that I pocket the interest.

With your limits, if you do this every month and are depositing the checks into a 5% interest bearing account, CapOne essentially has paid you roughly $250/year, less income tax.

Not bad.

Link to comment
Share on other sites

Capital One started reporting credit limits last month.

Doh.

Yep. Ours didn't show last month, but this month the limits are showing on all 3 reports. I called last month to find out if they would start reporting and was told my call "was very timely", as they were starting to report limits that month.

Link to comment
Share on other sites

Guest
This topic is now closed to further replies.
 Share

×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.. For more information, please see our Privacy Policy and Terms of Use.