I want to apply for a new credit card, but I’m afraid that I might get declined. What can I do to improve the odds that they’ll approve my application?
When applying for a credit card, remember that the process involves much more than simply answering all the questions on a form. There are actually several things you’ll need to do—most of which will need to be accomplished long before you even consider submitting your application.
1. Learn Your Credit Score
What is considered a “good” or “bad” score is ultimately left to the bank’s discretion, but credit scores generally break down into one of three ranges:
If your credit is less than “good,” your options for credit cards will be limited, and you may only be eligible for cards with higher interest rates, lower maximums, and more fees.
2. Don’t Apply for the First Card Your Find
It’s recommended that you take the time to research the different cards available to you, then choose the card which best fits your needs and your situation. Not only will this improve your odds of acceptance, it can ultimately help you manage your credit more effectively.
3. Manage Your Debt
4. Don’t Underestimate Your Income
If you have multiple streams of income, report all of them. This will improve your odds of being approved. But remember, be truthful, and don’t overstate your income. Lying on a credit application can carry serious consequences, including fines and jailtime.
Check your report for accuracy before calling, then remember to argue your case convincingly, but calmly and politely.