02/15/2022
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If you have not heard yet, as of March 4, 2022, your Capital One Costco account will transfer to CIBC. You should receive your shiny new card before August 31, 2022. Here is what will stay the same and what will change.
What will stay the same:
- Your 16-digit credit card number
- Expiry date
- Balance
- CVV (3 numbers on the back of your card)
- Pin
- Authorized users
- Bills you automatically paid with your Capital One
- Paper statements will continue to be sent out by mail
What will be different:
Payments must be made to CIBC as of March 4, 2022. If not, it will report as a late payment (because it went to Capital One Costco instead of CIBC) and will really lower your score.
- You must register (cibc.com/register) to see your online statements after March 7, 2022.
- Your due date may change. MAKE SURE YOU KNOW WHEN IT IS!
- Past statements will not be accessible through Capital One after March 4, 2022.
Don’t regret, double check:
In a perfect world, everything will transition smoothly. However, here is what I suggest you do to protect your credit:
In March, make sure that all your pre-authorized payments have gone through on your new CIBC credit card properly.
Double check to make sure your credit card payments are received by CIBC. You can confirm this by reviewing your paper statements, calling the number on the back of your card, or by signing up for CIBC Online account (cibc.com/register).
Will it affect your credit?
This is not the first time that one bank has bought the credit card business of another. I don’t know if it will hurt your credit because I’ve seen it happen a couple of different ways in the past.
One Way
The Credit Card name is updated on your Equifax and TransUnion report to CIBC Costco and everything else stays the same. This would be ideal because the open date would not change, and your credit history stays intact.
Other Way
Capital One Costco is reported as closed and CIBC Costco shows up on Equifax and TransUnion as a brand-new account. If this happens, your score will go down. How much depends on how old the Capital One card was and how many other well-established, active cards you have.
Unfortunately, there is nothing you can do about how CIBC Costco will report your account to Equifax and TransUnion. This is just a heads up in case you see a drop in your score or applying for financing in the next couple of months.
I will be tracking the transition and how it affects the score. If you are interested, make sure you comment below to be notified when I have an update for you.
