upgrade secured card to unsecured?

Discussion in 'Credit Talk' started by snopdrew, Oct 1, 2003.

  1. snopdrew

    snopdrew New Member

    About 9 years ago, I started rebuilding my credit with a secured card from capital one. I deposited $2,500 in cash into the account. I was in the high 500s at the time.

    I finally got back on my feet about two years ago, and now score in the high 700s.

    The secured card rate is fixed at 19.8%, which I think is quite high for my credit score. I called capital one to see if they can lower it, and the phone rep told me 'No', that the secured card by design is not flexible in changing its rates.

    So what I'd like to do is convert the card from secured to unsecured so that one, I can qualify for the lower rates, and two, I can get my cash back after all these years.

    Whether this "converting process" is actually a process of terminating one card and applying for a new one, or just upgrading the type of account with the same account number, doesn't really matter to me.

    But from a credit score point of view, is this a good thing to do in the long term? Am I stuck with the secured card forever in order to retain a high credit score? What can I do about capital one's lack of effort to accomodate a good customer?

  2. catnap1972

    catnap1972 Well-Known Member

    If you want, you can just unsecure the card if you want to keep the TL for whatever reason (if the reps won't do it, PFB Mr. Cooke...you shouldn't have a problem getting the deposit back), but as they told you, you'll be stuck with the crappy interest rate as they don't take into account your current credit score...only what you had when you applied for it.

    I'd apply for something else and just sock drawer the old card (assuming it has zero balance). You definitely don't want to lose the history if you can help it.
  3. SoParkDiva

    SoParkDiva Well-Known Member

    I would close this card. After 9 years you should be unsecured by now. If your payment history is good with them I don't see why yu are not unsecured. Obviously they want to hold on to your $2,500 for the interest they are drawing off of it.

    Try logging on to Planetfeedback and send a letter to Capital One. It will go to Mr Cooke automatically and see if he can help you.

    Good luck

    DOITMYSELF Well-Known Member

    After that long of payment history and the fact that your scores are now decent tell them what you want and if they do not give it to you sock the card!

    There is no reason to stay with them if they do not give you what you want. You have a high enough score that you can get another card should you have to sock the C1.

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