Applying for a credit card is a very easy task; however, you must need to fulfil the minimum financial requirements set by the card issuer in order to get qualified for getting their credit card. Applying for a credit card is not a tricky task at all, but getting approval is the one. Most of the credit card issuers and companies will check your credit scores, your monthly income, your financial status, and so on which complicates the things for those who are not that financially strong. However, now many companies and issuers have been providing their credit cards to even those who don’t have a good credit score. Today, we are going to talk on the same topic and will enlighten you regarding credit card and its usage and how to apply for the same.
What Exactly a Credit Card Is?
A credit card is a plastic card that has been issued by any financial institution and credit card company or issuers. This major function about this credit card is that the cardholders can borrow funds in order to pay for their purchases from an amount limit that has been already pre-set by the card issuer. This limit has been set on the basis of their credit score as well as their account history. In general, higher credit score and better account history lead to allot you higher card limit by the issuer. When you make any payment from the debit card, the amount is going to be deducted from your bank’s account automatically. On the other hand, when it comes to the credit card, the amount paid for any purchase from this card is going to be deducted from that pre-set limit of your credit card. Credit cards can be used for making online transactions or else you can swipe the card in the store for making the payment.
Requirements For Getting A Credit Card
Before you apply for a credit card, you must take note that you should fulfil the requirements for that. If you have failed to do that, then you are not going to qualify for getting an approval of the credit card. Here we have listed some of the major requirements that you must fulfil if you want to get a credit card without facing any issue.
- Your age matters when you apply for a credit card and you must be at least 21 years old to get a credit card. However, you can also apply for it if you are of 18 years but your parent’s permission will be required. The ones who are working whether they are 18 or 21 years or more, they must provide their provable source of income while applying for the credit card.
- In order to create a credit history, you must require a Social Security number and that’s why it is required while you apply for the credit card. If a non-citizen doesn’t have a Social Security number then it is most probably that you are not going to get a credit card.
- A good credit score is a must for applying for a credit card. It should be a minimum 700 or more than that for getting selected for the card. Different credit card issuers required different credit scores, based on which they allot their different credit cards that suit your credit score. However, a good credit score will provide you with a better card and better offers.
- The credit card issuer or financial institution will definitely ask you regarding your estimated monthly income in your Credit card. Make sure, if you have any debt to pay, the banks are not going to lend you money. A good monthly income with good credit score increases the chances of getting a credit card very easily while the opposite situation will decrease the chances as well. Don’t worry, if in case you are a full-time college student as you may meet the requirements for a student credit card even if you are earning only a little bit of money from a part-time job.
How To Apply For A Credit Card
To apply for a Credit Card, you need to know your own requirement. The requirement of what type of credit card you want or are eligible to apply for. So, there are certain types of credit cards such as rewards credit card, low APR credit card and limited credit’s credit card.
If you find your requirement then you’ll be able to complete the application for applying for a credit card. So, here is how an application for credit cards looks like. The online application helps you to get time to fill up the form properly with less error. Nowadays you can easily fill these applications on your smartphones.
The basic information that will be asked in your credit card application will be your Name, D.O.B and Social Security number. In addition to that, you will be asked Gross annual income, Housing situation, your Signature, etc. You have to answer all these questions honestly. After that, you have to submit all these details and all your provided details will be verified. After the verification, the issuer will check whether you qualify for the credit card or not. Once you have fulfilled all the requirements you have to follow the further process guided by your issuer or the financial institution based on their policies.
With the help of this post, we have tried to cover all the basic and major things about credit cards and how you can apply for it. The best part about having a credit card is that you can earn reward from its, pay off our debt and can also build credit as well. As you can see that the credit card applications are very straightforward and also very quick as well. However, if you have applied for the credit card online, you may get an immediate decision or else be communicated within a few days. But if you have applied through paper applications then it is going to take one or two weeks for processing time. Therefore, we will suggest you apply online if you want your credit card as soon as possible.