Application Approved: Winning Ways to Apply for a Credit Card
If you are new to the world of credit, or you have a poor credit history, you may find your credit card application being rejected. You can’t repair a credit score without using credit, and lenders are aware of this, so don’t give up. There are steps you can take to give your application a better chance for approval.
Check your status
If your credit card application has been rejected, request a detailed explanation for the decision. In some cases, the lender will report items affecting your credit score that are unfounded. If you learn of discrepancies in your report, correct them immediately. Maybe you are a young person looking to build a credit rating. In some cases, you might be added to a parent or family member’s card as an authorized user. In other instances, you might be advised to apply for a secured card. This is where you put money on the card so there is no risk to the lender while you are using the card and building your rating. You have options. Similarly, if you made it to the age of forty and have never used credit, you might be turned down for a card because you are not the typical applicant and you haven’t built a solid credit rating. You might ask a credit counselor to assist you. For more information on applying for a credit card no matter what your financial situation, visit http://applyforcredit.cards/.
Credit comes in many forms
Retailers offer credit cards. So do gas companies. If you are having trouble getting an unsecured credit card approval, you might try building your credit rating in other ways, like a line of credit or an installment loan. Make your payments on time, and try to pay off more than the required minimum amount each month. If you can’t clear your balances on a monthly basis, try to keep your spending below one-third of the allowable amount. All of these practices will put your credit score in good standing for future consideration by lenders. Not all credit cards are the same. Some will demand application fees and a higher annual percentage rate than others. Typically the credit cards with the bonus points and special added features are coming to you at a higher interest rate. They say nothing comes for free.
Set yourself up for a ‘yes’
Once you know where you stand and you have decided which card to apply for, set yourself up for success. You should be making a steady, consistent income when you apply for credit. Make sure you are listing all of your income on the application. Don’t apply for more than one card at a time as these applications result in “hard inquiries” that have a negative impact on your report.
The world uses credit as a secure system for booking entertainment and hotels and even your family vacation. It’s important to get yourself a solid credit rating, so keep trying until you have been approved.