Applying for a credit card is always a easy task to perform and doesn’t take much of your time and effort but receiving easy credit card approval is one task that most people don’t find that easy. This is because credit card issuers put so many things into consideration. For instance, if you have a poor credit card history, your chances of being approved for the credit card may difficult. Before you apply for a credit card let’s look at the possible chances of getting approved, let’s see this tips.
Check Your Credit Score
When applying for a new credit card, it is needful to know your FICO Score or an estimate of your score. Good website like Credit Karma and CredtSesame will allow you view your credit score. Some credit cards allow cardholders a free access to their credit scores on their monthly statements. So if you already have a credit card, you can check to see if your previous credit card issuers offers such services. Credit Score ranges on this pattern:
- From 650 downward is seen as poor
- From 651 to 700 is seen as being fair credit scores
- 659 is seen as average
- 70 to 759 score is considered as a good credit score
- 760 and above is known as an excellent credit score.
The higher your score, the more seemly chances you have for approval, so always endeavor to check out on your credit score regularly and try to maintain a good credit score has this ascertain your chances of any credit card approval especially from banks.
Look out For The Eligibility Criteria’s
One of the reason you may or may not receive approval fast or not largely depend on you meeting up with the necessary eligible requirement that the credit card needs. Some of such criteria are;
- Your source of income and you need to met up with the minimum income requirements for your card to be approved.
- Residential Status. Some credit card have restrictions on the residents that they are offering their services. You can only apply if you’re a resident of such location or the ones for temporary residents, so ensure you check out the residential status before applying for such credit cards.
- Most banks only accept applicants with good credit history with no defaults. So watch out.
Make available the Necessary Documents and Information.
Each time you’re applying for a credit card, you’ll be required to make available some documents and personal information to get instant approval.
- Your personal information such as your full name, residential address and contact details
- Proof of Identity such as your drivers license, government issued photo ID, birth certificate or Medicare card.
- Balance transfer details. This is if you’re applying for a balance transfer, your existing account details and the amount you’re transferring g during the application.
- Employment and Income details such as proof of employment and income, details of your employers and your recent pay slips. If you’re doing your personal business, you’ll provide your account details and if retired, evidence of your Centrelink payments or assets.
Make Your Monthly Bill Payments Promptly
Prompt payment of your credit card monthly bill history makes up a large percentage of your credit score. To keep a perfect history or a good position on your credit history ensue that your monthly bills are paid on due dates. Missing a payment or carrying over balances affect your credit score negatively.
Maintain a Good Credit Utilization
Credit utilization shows, how much money you owe in relation to your credit limits. Experts suggest that you always keep your credit utilization below 30%. That is, if your credit limits is $1,000, you should not carry a balance that is larger than $300. Using more than 30% of your credit limit, makes lenders to consider you not responsible and can make your credit score to go down. Also if you pay off your debt and your utilization is below 30%, your credit score will stand a better chances to increase immediately. If your credit score is on the average line, pay off any outstanding balances before stepping out to apply for a credit card and this will give you a good chance