Getting approved for a credit card is a great first step toward building credit and opening up more opportunities for financing. Credit card companies like Capital One make it easier than ever for those with bad or average credit to start down the road to recovery.
The Capital One® Credit Steps Program is a little-known perk designed specifically for those wanting to prove their creditworthiness. Below are three things you should know if you own, or are considering applying for, a Credit Steps card from Capital One.
1. Many Capital One Cards Offer Automatic Enrollment
Nearly all of the Capital One cards designed for poor-to-average credit come with automatic enrollment in the Credit Steps program.
For example, the Capital One QuicksilverOne Cash Rewards Credit Card sign-up page says that customers can “get access to a higher credit line with Credit Steps after making your first five monthly payments on time.”
Here is a breakdown of the top cards eligible for Credit Steps enrollment:
This card is currently not available. Additional Disclosure: Information for this card not reviewed by or provided by Capital One.4.9
4.5
Capital One® Spark® Classic for Business
4.6
You’ll know if you’ve been automatically enrolled in the program when you receive your welcome packet from the card company.
2. Your Credit Limit Starts Low, Then Increases
For cards in the Credit Steps program, you may find that you have a low initial limit of just $200 or $300, but will get an automatic increase to $500 or more after consistent payments have been made. This is usually done after five payments, or a minimum of three months of favorable activity.
Capital One may also occasionally provide the opportunity to request a line increase beyond the first one. Many factors go into determining your eligibility:
- On-time payment history
- Average monthly payment amount
- Credit bureau information
- Credit score
- Whether you use a significant portion of your existing credit line
- Regular use of your card
If you’re eligible for an additional increase beyond the automatic first one, you’ll see a link to request one in your online credit account dashboard. Capital One does not usually approve requests for a limit increase if your card has had an increase or decrease in the previous six months, and they reserve the right to decline requests based on their own internal guidelines.
3. You May Become Eligible for a Better Card
Most of the cards that are included in the program will cap accounts at $1,500 to $3,000. If you’ve reached the highest threshold and want more, you may have established your credit enough to apply for a different, more flexible, card account.
Here is a breakdown of the top cards Capital One customers often upgrade to. You’ll notice that these cards offer much more favorable terms than those in the Credit Steps program:
4.9
4.9
4.9
Note that you shouldn’t ever close your first card account. Keeping your accounts open – even when not in use – will raise your total available credit and keep your utilization in check.
Taking the Next Step
The Credit Steps program from Capital One proves that the credit card industry is looking to give even those with bad credit a second chance at proving themselves. The program may also prove valuable to those who are just beginning their journey in the credit world and are looking to build their credit for the very first time.
While making even one late payment could cause you to be dropped from the program (and your account to be put in jeopardy), just six months of responsible credit use can have a significantly positive effect on the future of your finances.
If you’d like to give the Credit Steps program a try, choose one of the fair credit or limited credit options from our Capital One reviews page to apply online.
Advertiser Disclosure
CardRates.com is a free online resource that offers valuable content and comparison services to users. To keep this resource 100% free, we receive compensation for referrals for many of the offers listed on the site. Along with key review factors, this compensation may impact how and where products appear across CardRates.com (including, for example, the order in which they appear). CardRates.com does not include the entire universe of available offers. Editorial opinions expressed on the site are strictly our own and are not provided, endorsed, or approved by advertisers.
Editorial Note: Our site content is not provided or commissioned by any credit card issuer(s). Opinions expressed on CardRates.com are the author's alone, not those of any credit card issuer, and have not been reviewed, approved, or otherwise endorsed by credit card issuers. Every reasonable effort has been made to maintain accurate information; however, all credit card offer details, including information about rewards, signup bonuses, introductory offers, and other terms and conditions, is presented without warranty. Clicking on any offer on CardRates.com will direct you to the issuer's website, where you can review the current terms and conditions of the offer.
Share This Article
About the Author
![How to Apply for a Credit Card Online: 4 Easy Steps ([updated_month_year])](https://www.cardrates.com/images/uploads/2016/07/How-to-Apply-for-a-Credit-Card-Online--1.jpg?width=158&height=120&fit=crop "How to Apply for a Credit Card Online: 4 Easy Steps ([updated_month_year])")
![3 Steps to Credit One Pre-Approval ([updated_month_year])](https://www.cardrates.com/images/uploads/2016/11/CreditOneApp.png?width=158&height=120&fit=crop "3 Steps to Credit One Pre-Approval ([updated_month_year])")
![How to Calculate Credit Card Interest: 3 Steps to Find Your Rate ([updated_month_year])](https://www.cardrates.com/images/uploads/2017/02/how-to-calculate-credit-card-interest.jpg?width=158&height=120&fit=crop "How to Calculate Credit Card Interest: 3 Steps to Find Your Rate ([updated_month_year])")
![How to Get a Credit Card in 6 Easy Steps ([updated_month_year])](https://www.cardrates.com/images/uploads/2017/09/GETCARD.png?width=158&height=120&fit=crop "How to Get a Credit Card in 6 Easy Steps ([updated_month_year])")
![5 Steps to Apply for a Business Credit Card ([updated_month_year])](https://www.cardrates.com/images/uploads/2019/12/How-to-Apply-for-a-Business-Credit-Card.jpg?width=158&height=120&fit=crop "5 Steps to Apply for a Business Credit Card ([updated_month_year])")