Capital One Platinum card has no fancy rewards, no credits such as dining or airlines, and no introductory APR offers. So why should you consider Capital One Platinum when it does not come with any fancy benefits? because it yields a lot of value if you are looking to improve your credit rating.
Capital One Platinum card is simple to use and ideal for users who have average credit. The card does not carry an annual fee and can be used at all locations where MasterCard is accepted.
The features that can help you on the credit rebuilding process
CreditWise
As a Capital One Platinum cardholder you can sign up for the CreditWise feature which has tools that you can use to monitor the credit score. You can receive email alerts when there is a significant change in your credit score activity on Experian or TransUnion. CreditWise tracks your SSN and checks the dark web for unusual activity related to your account. Credit monitoring is the first step towards rebuilding your credit score.
Credit Limit Increase
Many users that apply for the Capital One Platinum card, in the beginning, get approved with a lower limit. The minimum credit limit that you can be approved for is $200. You can be automatically considered for a higher credit line in as little as 6 months.
Recurring Transaction Views
Using your Capital One Platinum card you can pay your utility, entertainment and other subscription-based services. Your account has a view which would allow you to keep a track of recurring transactions, this can help you stay on track.
Alerts and Reminders
If you have an authorized user on your account, then you can also track their spending with your Capital One account. You can also set-up alerts and auto-pay feature which will remind due of the payments due and will be keeping you on the repayment track.
No Foreign Transaction Fee
When using this card abroad or for online purchase from a vendor outside of your country you will not be charged a foreign transaction fee on this card.
Availability of Grace Period
On the Capital One Platinum card, you do not get charged interest on the day your transaction is posted. You receive up to 25 days’ time to make a payment from the closing of each billing cycle. The billing cycle closing date and the due date may differ for everyone. The grace period is not applicable to cash advances and on transfers.
Your credit utilization is reported based on the amount used as of the day of closing of the billing cycle. To improve your score, you can keep your credit card utilization below thirty percent or even bring it down by making a partial payment before the closing of the billing cycle and then clear the entire amount due before the payment due date.
“Paying Interest and How Can I Avoid Paying Interest Charges “are two sections of the terms and conditions that each cardholder should acquaint themselves with.
Creditors may view your debt management skills as poor if you tend to carry a balance forward each month on your credit card. Not only would you incur interest on your balances, but there is also a possibility of losing your grace period if you make only minimum payments besides there won’t be an improvement on your credit score. It is ideal to spend only that amount which you can repay on time.
Additional Advantages of being a Capital One Platinum card holder
You can avail 24-hour travel assistance services if you are locked out of your card or if you have had a flat tire. This card also gives you travel accident insurance coverage up to the amount of $100,000. In addition to your original warranty, many of your purchases could be covered by the additional year of extended warranty that is offered on this card. The Platinum card protects your rental vehicle up to 15 days in case of a collision or damage.
Drawback
High APR
The annual percentage rate on Capital One Platinum is 26.99 %. The APR offered to you may vary based on your creditworthiness and the prime rate. This card does not offer a lower introductory APR or 0% interest-free period thus it is not advantageous to transfer your balances to this card at a high rate.
This card may not be a good fit for rewards earning or transfers, but it is useful to all those who are looking for a reliable card to raise their credit score.
Get Sift. It’s FREE