How To Apply For A Credit Card So That You Will Get Approved?

Applying for a credit card nowadays is pretty straightforward. All you really have to do is enter your information online or go to a banking branch and and fill out forms. When you are done, you simply submit your forms. The application process is easy; however, getting approval is not as simple. Getting approval requires  as entering your data into an internet form and clicking on”submit” But obtaining approved to get a credit card requires proactive planning which should begin long before you apply for a credit card.

Credit Score

One of the first things you need to know before you apply for a credit card is your credit score. Your credit score is just one of the most significant factors in a credit card issuer’s decision.

It is a good idea to get a free credit report score from the three major credit reporting bureaus: Experian, TransUnion and Equifax. It is a good idea to review the reports for any discrepancies. If you find discrepancies, then contact the bureau directly and file a report. It may take some time to clear up, but it is necessary.

Once you feel like your credit is in good standing without any discrepancies, you can see how you can boost your credit score. Or if you have a good score you can begin applying for credit cards.

Lower Your debt

High credit card balances can be damaging. Your credit use ratio — your own balance split by your credit limit — should   be under 30% on every credit card. So if, as an instance, you own a credit limit of $10,000, it is suggested to use a  maximum of $3,000.

Don’t Take The First Card You Are Approved For

If you do not have good credit, you might find it hard to get qualified for a card. Even though it is hard to get approved, do not just take the first card you get approved for. Make sure you read the fine print of the cards when you get approval. It is also a good idea to read up on the cards before you apply to see if it fits your needs and if you will receive approval.

Include All Your income 

Your credit score is a good indicator of your creditworthiness; however it does not inform lenders about your earnings. Credit card issuers need to know how much you earn to compute your score ratio, which can help determine your ability to make payments. There are two approaches to reduce this ratio: raise your income or reduce your debt.

Do Not Give Up

If your application gets rejected, do not give up. You have a right to ask the credit card company why they rejected your request for a credit card. Once you have your reason, you can work on these issues to get approval in the future.

It might also be easier to get approved for a secured credit card, which requires a money deposit. A number of the top secured cards offer cash benefits and flexible deposit amounts.

The Most Important Thing

Being rejected by a credit company sucks — both emotionally and financially.

That is why it’s important to do your homework a bit before submitting your credit card applications. Based on this homework, you will know the best card to apply for.