Capital One does not typically refund annual fees after the fee has been charged. Cardholders can call Capital One at the number on the back of their card to request an annual fee waiver, though this is not guaranteed to work.
Capital One cardholders who have upgraded to a card that charges an annual fee should keep in mind that the fee won’t be charged until 65 days after the upgrade. If you would like to revert back to your original no-annual-fee card after you have upgraded, you should notify Capital One customer service before the 65-day mark.
Credit cards have annual fees to help cover the cost of rewards programs, benefits like travel insurance, and account services such as billing and customer support. Annual fees also help credit card companies profit more, especially on cards that people don’t use much. And in the case of credit cards for people with limited or bad credit, annual fees help credit card companies reduce the risk of lending to unproven borrowers.… read full answer
The most common types of credit cards with annual fees are high-end rewards cards (especially the travel variety), business credit cards, credit cards for bad credit, and rewards cards for people with fair or limited credit. The more perks offered or the more risk there is for the issuer, the more likely there is to be an annual fee.
Do all credit cards have annual fees?
Not all credit cards have annual fees. There are hundreds of no annual fee credit cards available. And some annual fees are a lot bigger than others. They can range from $25 to $550 and up, depending on the card. Some will also waive the fee for the first year. When a card does have an annual fee, that fee is automatically charged to your account once a year. The first fee will be charged to your first month’s credit card statement.
Whether or not a credit card has an annual fee shouldn’t be the only factor you consider when shopping for a card. That’s because whether an annual fee is worth paying depends on what you get in return and what other options are available. You can learn more below.
Here is more on why credit cards have annual fees:
Credit cards assess annual fees mainly to offset the cost of their benefits, rewards and account services. But they’re also a way for credit card companies to make greater profits.
The Credit CARD Act helps explain why credit cards charge annual fees. It limits penalty fees, over-limit fees and APR increases but not annual fees.
Rewards cards, including airline and hotel cards, tend to have the highest annual fees. But their benefits are often worth it if you use the card frequently.
Some major credit card issuers don’t charge annual fees on any of their cards. Others charge fees on about half of their cards.
Business credit cards are more likely to charge annual fees than personal credit cards.
Whether or not you should have a credit card with an annual fee depends on your spending habits and credit standing. If you’ll save more with a card that charges a fee, even with that fee considered, it makes sense. But if you don’t plan to make a lot of purchases, a no annual fee card probably is the way to go.
To get a Capital One credit balance refund for an overpaid amount, a cardholder can either call Capital One customer service at the number on the back of their credit card or send written notice to Capital One to request a refund check for the amount overpaid. Capital One will mail a refund check for the amount overpaid. Some cardholders have also reported managing to schedule an ACH refund credit to the bank account the payment came from.… read full answer
It’s important to note that a credit balance refund will only be issued for payments that go over the current balance. For example, if your current balance on the Capital One card is $1,000, and you make a payment of $1,500 by mistake, you’ll get a refund of $500. On the other hand, if your current balance is $1,000 and you mistakenly pay $1,000 instead of $100, you won’t be able to get a credit balance refund. And overpaying a credit card on purpose will not increase your credit limit permanently, nor will your overpayment earn you interest, so it’s not a good plan.
Legally, card issuers must send a credit balance refund within 7 business days of a cardholder’s written request for one (for any overpayment over $1), but many issuers send these checks automatically after a certain period of time. If a credit balance refund has been on the account for four billing cycles, Capital One will automatically issue a check, which customers will receive within 7-10 business days.
If you’d rather submit a written request for a credit balance refund to Capital One, send your letter to:
Capital One Attn: General Correspondence P.O. Box 30285 Salt Lake City, UT 84130-0287
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