Capital One uses "platinum" branding on many of its credit cards, even on accounts designed to rebuild credit. Compared to other credit cards for average credit, the Capital One Platinum offers MasterCard Platinum Benefits that include extended warranty program and fraud prevention benefits. With a $0 introductory annual fee for the first year; $19 after that and a high APR, you can use this card if you have limited credit history or to get back on track after some financial setbacks.Why you might qualify for Capital One Platinum
When Richard Fairbank and Nigel Morris spun Capital One off into a standalone credit card issuer, they didn't bring the baggage of legacy systems and policies. Instead, they started building one of the banking industry's most powerful consumer databases. Their system can pretty accurately predict an applicant's risk by supplementing credit report information with its own projections.
Unless you've got other credit card delinquencies on your file, the system usually errs on the side of giving applicants a chance with a small credit limit. Best credit card for average credit consumers
With those underwriting guidelines in mind, it's easier to understand how so many applicants qualify for the Capital One Platinum Card. On our credit card forum, we often hear from readers with FICO scores in the low 600s who receive special offers for this card.
The mailed offers varying slightly from the credit card deals the bank posts on its website.
In most cases, the bank offers an introductory $0 annual fee the first year of a relatively low annual fee. However, credit limits tend to be low (usually around $300). This is a card you'll use to qualify for a better Capital One account after about a year of solid performance, using your card responsibly.How Capital One Platinum compares to other companies' platinum cards
It's hard to compare credit cards when "platinum" means so many different things at competing lenders. The Platinum Card from American Express comes with an annual fee at least 24 times higher than Capital One's, but includes a boatload of elite perks and privileges. Iberiabank Visa Platinum offers an interest rate almost less than half this card's APR.
What you're really getting with this account is the feel-good factor of handing your cashier a platinum card from a well-known, trusted brand. You're also building a relationship with one of the fastest-growing consumer lenders in the United States, featuring an innovative online account tracker that may help you learn to manage your account wisely.Surprising bonus benefits from a no-frills credit card
Through a partnership with MasterCard, this Capital One account offers access to auto rental insurance, travel assistance, and travel accident insurance when you book your itinerary using your card. MasterCard will cover the cost of roadside assistance, even if you're near your own home.
In addition, Capital One and MasterCard will add a year to the warranty period for any item with a year or less of manufacturer's coverage. >> Hide
This card is best for consumers with average credit looking for a Plain Jane card to use to further build credit who never carry a balance.Should you switch to Capital One Platinum?
Because this card doesn't offer any balance transfer deals, you'll probably only want to switch to Capital One Platinum if you're paying high annual fees on a different credit card for those with limited or fair credit. This is a strong contender if you've successfully managed a retail store or gas credit card over the past six months. >> Hide