How to Apply for an Approved Credit Card (2023)

Do you want to have a credit card this year? This article on how to get your credit card application approved might help you get a credit card.

Having a credit card has become a way of life in modern society.

The demand for people to have credit cards continues to increase from year to year. Even in the United States, 7 out of 10 people have one credit card.

This is because more and more convenient payments and special offers are given to credit card owners.

Many people say that applying for a credit card is very difficult to get approved by the card provider or bank.

Yes, this statement is actually quite realistic.

Applying for a credit card may be easier than getting your credit card application approved by the card provider or bank.

Will your credit card application be approved or rejected?

This decision is like waiting for the results of the final school exam.

Even though there are rejections, the truth is that you also have a great opportunity to get a credit card easily if you understand important factors about how to get it and are responsible for using it.

The data shows that the percentage of applications for declined registration is only 13,5%–22% in the last five years.

This gives you a chance.

Understand how credit cards work

Credit cards are also referred to as payment cards and are issued to cardholders who meet the requirements. Card issuers (banks) create rolling accounts and provide credit lines where cardholders can get short-term loans quickly.

For their physical forms, credit and debit cards have similarities, but for the mechanisms used, both have differences.

"How do credit cards work?"

If the owner of a debit card uses the money to pay for purchases, cash withdrawals, and more The money they use is their own money, which is stored in a bank savings account.

While the money used to buy something in cash or in installments is the money that the bank gives to the card owner based on the credit card limit, the loan money must be paid directly according to the amount used or paid in installments under conditions that are subject to interest of a few percent.

In addition, credit cards also have a credit limit—the amount of money you can borrow using the card.

For example, if you have a credit card with a limit of $1,000, you will only be able to spend up to $1,000 once you pay the entire balance or part of it. If you use more than the card limit, you will be charged.

Who can get a credit card?

Everyone can apply for their first credit card if they are at least 20 years old and have an income. Even according to one bank, one can apply for a credit card for the first time even though they are under 18 years of age and are a student, on the condition that they have obtained parental permission.
This is a credit card ownership chart based on age.

Why was your credit card application rejected?

Many people get rejected when applying for a credit card for the first time or for the third time.
And here are some reasons:

1. The credit score is too low

When you apply for a credit card, the card issuer will analyze your creditworthiness through your credit score. And usually, refusal results from a credit score that is too low or below 600.

2. Bad credit

Your credit report also provides details to the card provider so that the decision can be approved or rejected. A history of late payments, loan penalties, and not being able to pay loans is a common reason for credit card refusal cases.

The more loans or obligations that you have not yet completed will make the card issuer see you as a riskier person to approve credit card applications, even if you are always paying on time.

4. There is no or little credit history.

Often, the applicant for a credit card is first refused on the grounds that he has no or little credit history, and this usually happens to those who are young. This is because banks cannot track their finances, whether they are the person responsible for money loans or not.

The best way for those who do not have a credit history is to use a secure credit card.

5. Insufficiency of income

Every bank in various worlds has minimum salary rules for making credit cards. Inadequate income will be a reason for banks to refuse credit card registration. Because if your money is less than your debt, it will be difficult for you to pay the loan. And banks don't want to take risks.

6. Past bankruptcy

If you have experienced bankruptcy in the past, card providers will be more careful about approving you, whether you are accepted or rejected. If your bankruptcy does not leave your previous debt anywhere and there are no delays or penalties, you can be accepted. But with limited credit card choices.

7. Have a lot of credit cards

Many people are rejected because they already have more than three credit cards. People who have a lot of credit cards will be a consideration for banks when measuring the level of ability to repay loans on different credit cards.

8. Providing false information

Providing false information to get credit card approval is strictly prohibited. In addition to refusing your shipment, the card issuer has the option of reporting you for fraud. Never lie about yourself or your income when filling out a credit card registration form.

How do you get your credit card application approved?

There are many things that you must prepare so that your first credit card registration is accepted by the bank.

Tips on how to get an approved credit card:

1. Make yourself meet the requirements

Many people who try to get their first credit card fail to complete the criteria and requirements to submit an application to the bank. And as a result, their application is "refused".

If you come to the bank and are judged to be eligible as an "approved prospect," you may have met some "documentation" requirements.

However, there is no guarantee that your card application will be "fully fulfilled" There are still some important factors that must be assessed by you, such as credit history, income, and others.

2. Know your credit history and credit score

Credit history and credit score are important factors that card issuers consider when deciding whether to approve or reject your application. Credit history and credit scores are usually in the form of credit reports issued by credit bureaus like Experian, Equifax, and TransUnion.

If your credit report shows a low credit score, the possibility of submitting your credit card will be rejected. And if your credit history does not exist, be it little, bad, or average, most likely your application will also be rejected.

So check if you have a credit history such as a car loan, cell phone contract, or store card.

And see if you pay the loan well enough or have experienced a traffic jam before applying for the first credit card.

Credit scores are calculated with your credit history and are usually classified as follows:

To get a good credit score, you can do these 3 things:

1. Pay loans on time

2. Don't empty your balance on an existing credit card

3. Don't add new debt

Generally, there are 2 models that are often used by credit providers or banks to measure your credit score, namely FICO and VantageScore.

And usually, FICO becomes the most widely used to calculate credit scores.

You can also use the credit score calculator for free.

Credit reports are usually sourced from credit bureaus. 

3. Determine the type of credit card you need

If you are the first to submit an application, it is better to choose a card that has a low cost, a low-interest rate, or no annual fee. And most importantly, according to your needs, it gives you a great possibility of acceptance.

Take your time to find all types of credit card offerings.

Below are what consumers often look for on a credit card.

Credit cards always come at a higher cost. If you choose wrongly, credit cards can spend your money from time to time, such as on:

Research shows the biggest challenge to getting the right credit card is that most people take too long to examine all available credit cards and are overwhelmed trying to find new credit cards according to their needs.

 It is best to look for a card that is feasible for you by comparing it online to see what it offers.

4. Include all income and don't lie

Your credit card issuer needs information about your income in real terms. It is important to measure your ability to pay for various costs arising from ownership of a credit card and to calculate debt ratios.

If you are an employee and have income beyond your salary, include it in your application. If you are a business owner, you must explain how much profit you get from your business.

Never lie to overstate your income when making a request. If the bank detects that you are providing false information, it can be categorized as credit card fraud.

5. Register at your bank account or register online

Banks usually offer their customers' bank account owners the opportunity to open a credit card. If you are deemed to have fulfilled bank requirements, this will certainly give you a great opportunity to be approved. Because it is easier to analyze the data they have. Or you can also apply for a credit card online.

You only need to fill out the application form provided.

How long does it take for a credit card to be approved?

If you are fully approved, you will receive a new card in about seven to ten days. But the approval process can also take a long time if you do not meet the requirements and the card provider does not process your application quickly.

Your credit card submission was rejected

If you have met all the conditions and received a rejection, do not give up; usually, the card provider or the bank where you registered will provide a letter containing the reason for the rejection. However, if you do not get a rejection notification letter, you can ask the bank why your credit card application was rejected.

This method is very good as a corrective step before applying for a credit card elsewhere.

If this rejection is caused by a lack of credit history or a low credit score, you must correct everything before filing again.

Apply for a credit card without a credit history or a high credit score

If you want to still have a credit card, you can use a "Secured Credit Card and Student Credit Card."

Both of these cards make it easier for you if you need a credit history or a low credit score. You can apply for a secure credit card, or if you are 18 years old, you can apply for a student credit card.

What are secure credit cards and student credit cards?

1. Secured credit card

This credit card requires a cash deposit, which is usually the credit card limit, which is useful for protecting the card issuer if the user does not pay the bill. This card is given to people who do not have a credit history or have bad credit. But to register, you still need to have income.

2. Student credit card

Maybe not all banks in each country issue this card. But if you are 18 years old and the bank where you live is issuing a student credit card, you can use it to get your first credit card. Student credit cards accept credit card applications if you get regular payments from your parents, student loans, or your part-time job.

3. Store Credit Card

For those of you who do not have a credit reputation or who are building credit. The store credit card is the right choice. Taking a store credit card into account, it might be very useful if used correctly.

Avoid using store credit cards for financing because store cards have a high-interest rate.

Conclusion:

If your application is approved by the bank or card provider, congratulations! Your card is ready to be used to help with your financial needs.

But you must take full responsibility for the use of credit cards. Credit cards can bring goodness if used wisely. But if you fail, you can generate a lot of debt for the bank.

So be always careful when you buy or pay for something with a credit card.