How to apply for a credit card

A credit card used intelligently, it is the key to timely access to any product or service that would not be possible otherwise. For some a necessity, for others a status symbol, we tell you how to apply for a credit card and that you will be approved in a few steps.

Although being approved is never a guarantee, tosuccessfully apply for a credit card It is not a short process. Start with the checking your credit score and the choice of correct Card, according to your purposes and lifestyle.

Apply for a credit card and waiting for approval or rejection can be overwhelming.

Keep reading: Anatomy and parts of credit cards

Apply for a credit card. First recommendations

The first tip we can offer you is have confidence.

In fact, the word “credit” in ancient Latin means “trustworthy”. You must prove to the bank or issuer that you are trustworthy so that they can issue a credit card. Maybe the first step is open a bank account in the institution with which you hope to forge a financial relationship and take your money mobilization there.

“When you are applying for your first credit card, you are essentially asking the issuer to give you a chance.” says the credit educator John Ulzheimer of the group Ulzheimr.

Your advice as an expert? Keep it real with your expectations.

With your first card “It is very unlikely that you will get a very large credit limit, and you may not even get a modest credit limit”, He says Ulzheimer – “it’s normal”. Build your credit or credit score it’s a process, and you have to start at some point. Read this article on how to build credit from scratch if you find yourself at this point.

Just remember: you may not be “trustworthy” for yourself.apply for a credit card right now, but you can take proactive measures prepare you to be approved in the near future.

Keep reading: How to rebuild credit after bankruptcy

Steps to apply for a credit card

Without further ado, let’s go to the six steps on how to apply for a credit card:

Number 1: Check your credit score

Know your credit score and what’s in your credit report can help you determine which products you should order. The Consumer Financial Protection Bureau (CFPB or Consumer Financial Protection Bureau) teaches us how to get a copy of our credit report.

For example, if you have a credit score Normally, you may not want to apply for an elite card that clearly states that only applicants with excellent credit will be approved.

Take some time to review your report. As pointed out by the CFPB, you credit report may contain errors, such as old collection accounts that should have been removed from your report by now, which could prevent your request from being approved.

How can I correct an error on my credit report?

The errors in credit reports they are not rare and how you will deal with a bug will depend on the type of bug you are reporting.

Some errors may be account related. For example, a payment more than seven years late or incorrect personal information such as a wrong name.

Number 2: Determine what type of card you need

if it’s you first credit card application, it’s probably a good idea to opt for a card with annual quota. Ideally cwith a low maintenance fee, or without them and with a interest rate short.

Do not apply for multiple cards at once. In most cases, one card should be enough to get you started. This limits the risk of being confused by multiple expiration dates of payments.

If you don’t have a credit history or have had trouble getting a credit card approved in the past, you should try apply for a secured credit card.

A secured credit card requires a cash deposit of approximately credit limit requested and is commonly used to start or rebuild a credit history.

Another recommendation that we can give you is that you request a departmental credit card or issued by a chain of stores.

Julie Marie McDonough, author of “How to Make Your Credit Score Soar” (How to Make Your Credit Score Soar), describes the retail cards like the “training wheels” of the Credit cards, as issuers tend to be more flexible about who qualifies for such a card.

However, retail or department credit cards they have some drawbacks. Among them, the high interest rates, commissions and slightly poor customer service in comparative terms, so it is important to use them responsibly.

Number 3: Choose where to apply and open an account before

You already have one check account or savings at a bank or credit union?

McDonough say what apply for a credit card of one financial institution where you have one Bank account turns out to be a good idea, since you have a history of financial products already established there.

Andrew Fiebert, co-founder of the personal financial organization Listen Money Mattersconfirms this pattern.

“A banking relationship pre-existing could improve your chances of get a credit card application approved«, He says Fiebert, “especially if you have managed your bank account responsibly, for example, without overdrafts”.

Number 4: Check if you are pre-qualified

Some of the big banks, like JPMorgan Chase, Bank of America Y Capital one, they allow you to know if you are prequalified for a credit card.

It’s something that takes a bit of work on your part. You usually need to fill out a small form and submit some basic personal information, including your social Security number.

This initiates a process of cursory review or Soft Inquiry, which, like checking your credit, will not affect your credit score.

If you get a “pre-approved” or “pre-qualified” status, go for it! You have met all the lender’s criteria so far.

However, you still have to request the card Y the fact of being approved will depend on other factors, including their formal income, of which you can present supports.

Keep in mind that this being a prequalification, it is not an absolute guarantee of your approval.

Number 5: Prepare for a “hard check” on your credit history

When apply for a new credit card, it usually triggers what is known as a “hard investigation” or “Hard Inquiry” in English, in your credit report. Is a check your credit history which will generate a trace on it.

The “hard queries” generally occur when a financial institution, such as a lender or a credit card issuer, check your credit report for the purpose of making a loan decision.

have several investigations or hard queries in a short period of time can decrease your credit score slightly and can stay on your credit report up to two years.

The good news is that just one hard investigation may not significantly affect your score and the damage usually lessens or disappears over time.

Number 6: Apply credit card best practices

If you approve a card, congratulations!

A credit card can be a really useful tool to help build your record and credit score over time. However, now that you have it, remember that it is a tool that requires maintenance and attention on your part.

Learn about the credit card best practices How make payments in full or “totaleros” and in a timely manner; also maintain low credit use; preferably below 30 percent of your total limit.

BBVA reminds us how to use our credit cards responsibly.

What happens if your application is rejected?

First of all, don’t despair.

Many people have experienced a rejection of a credit card application on more than one occasion, and many have subsequently been accepted by other cards. Therefore, it is vitally important that you know how to apply for a credit card before starting the process.

Second, weigh your options.

maybe you want to try apply for a standard credit card not guaranteed or lower benefits offered and required income.

You can also consider apply for a secured credit card, which requires a cash deposit, which becomes the guarantee for your credit limit.

However, try to be selective about the additional requests, remember the “hard inquiries,” as any several of them in a short period of time can hurt your credit.

What credit cards should apply?

If you opt for Capital One, here we show you the 7 best Capital One credit cards.

If, on the other hand, you are looking to apply for credit cards from banks such as Wells Fargo, Chase or Bank of America, here are some articles that can help you:

What is the best credit card to apply for the first time at Wells Fargo?

Chase Secured Credit Card: Does It Exist?

Bank of America Platinum Card

BankAmericard credit card from Bank of America

Bank of America Premium Rewards Credit Card

Bank of America credit card

Bank of America Cash Rewards Card

Bank of America Travel Rewards Card

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