7 Methods to Get 100% Credit Card Application Approval
Submitting a credit card application is one of the most major moments in your life. It is the moment when you are one step closer to acquiring one of the best transaction tools, the credit card. Unfortunately, the credit card issuer doesn’t accept all applications. They will only choose a group of the best applicants with the lowest risk to get their product. So, how can we be included in that group? Here we will tell you how to improve your chance to get approval from the credit card company.
Apply for Only One Credit Card
People often think that by submitting many applications to many credit card companies, they will get at least one approval. However, each of the applications that you send will affect your credit score. When the credit card company sees that, they will see you as a high-risk applicant. So, you will have a lower chance to get their approval.
You should create enough periods to separate between the first application and the next one. At least, apply the next one six months after you applied the previous application. It is more stable and the lender can easily measure your credit condition to approve your application. Plus, if they see you apply for their competitor that could also become a problem.
Free the Credit Reports from Any Errors
The error in your credit report also lowers the chance of getting approval for your application. It happens a lot when you are not monitoring your credit report regularly. The error happens because of human mistakes or the system. However, you can fix it easily, if you know the error.
For that reason, you can try to use the credit bureaus service where you can check your credit history. Or, you also can use the annual service, like from AnnualCreditReport.com, to get a regular credit report. You can check it and when you find the error, contact the credit bureaus. Make sure you fix them all before submitting a credit card application.
Choose the Correct Credit Card to Apply For
Make sure you choose the credit card with the requirement that your credit score can fulfill. In many cases, people don’t get the approval because they choose the product that has a higher credit score requirement than theirs. You will get 100% rejection for that credit card product.
That’s why; you should know your credit score. Get the credit report with the method we explained above. Then, use the point you get there to find the cards that match that point. Apply for that credit card product. Your chance of getting approval will be much higher for that product.
Pay the Bills before Due Date
Even though you plan to apply for a credit card, the other bills also affect the application approval probability. Therefore, make sure you pay all your bills on time or way before their due date. It keeps your credit score on top rank. With this credit score status, the lender will have a good impression of you as their product’s applicant. And, they can easily approve your request for a credit card.
Manage the Ratio
The credit card company also sees the ratio of your debt to the limit of your credit card as one of the factors to give you the approval. They did this when you also use other credit cards. The best ratio you can keep for a better application approval rate is 30% to 70%. So, keep the debt at 30% and the credit at 70%.
For example, if you are using a credit card with a $1,000 limit, you should use only $300 as your maximum usage. It improves your credit score. This method also shows to the credit card company that you are a capable individual for managing the credit card. In the end, it will put you into a group with a better credit card application approval rate.
Do not only build your credit through a credit card. You should use different types of loans and other financial tools. That will diverse your credit history. More importantly, you should manage them well to get a boost on your application quality.
Similar to ratio management, this method also gives you a good impression in the lender’s eyes. Then, if you combine it with good ratio management, your approval rate will be soar to the sky. We can say you have close to 100% from getting the approval on your credit card application.
Start Building Your Credit Early
An applicant with longer credit history has a better chance to get credit card approval than those who just start. Therefore, you should try to build your credit score as soon as possible, once you have a stable income. That gives you many benefits. It is not only for applying for a credit card. Your long credit card history also increases the chance of for applying a loan or other financial products.
Tips for Applying for Credit Card
Now, you know what you should do to give you a higher chance to get your credit card application approved. Next, you also should know what you should do to ensure that the application process goes smoothly.
- Prepare all documentation – make sure you have all documents that the lender requests before submitting any application. It is including your income report, credit report, your personal information, and other documents. If you have a problem managing it, ask for help from your trusted person to help you prepare the documents.
- Proof-read your application – make sure there is no mistake on your application to avoid many problems in the future. A small mistake, like a typo, can affect the value of your application. The lender won’t even see that application after you submit it because of that small mistake. You also can use the grammar correction tool; to ensure your application doesn’t have any mistakes.
- Choose the place where you apply – find the reliable and trusted credit card company that gives you various product and benefits. Use their online application form to save more time and energy. Or, you also can visit the credit card company and talk with their representative regarding the application for their credit card.
- Apply at the bank – if you have a saving account in a bank and that bank also issues credit card products, you can try to apply there. The bank mostly will prioritize their customer over the other clients. Plus, with having a savings account in that bank, your application also has a better chance to get approved.
- Wait for the approval – the approval process will take around 3-4 weeks. Then, you will be informed whether your application got approval or not. If you get approved, you still have to wait for around 7-10 days for the card to be delivered to your place. Then, once you received the card, you can use it right away.
One thing for sure, credit card application is not something that you need to afraid of. Indeed, it is complicated and sometimes troublesome and takes a lot of time. However, with enough preparation, plus our tips above, you don’t’ have to worry anymore whenever you apply for a credit card. You have a better chance to get approval from the credit card company.
we have a good article for you about credit with bad credit