Apply for Credit Card: Instant Credit Card Approval

Apply for Credit Card: Instant Credit Card Approval

Posted 07.03.2012 in Articles by Jess

Applying for a credit card is more than just giving your John Hancock and swiping away. With hundreds of options out there, it may be difficult to choose the right one to best suit your lifestyle. It's easy to get instant credit approval when you have good credit but there might be a little bit of trouble for those with poor credit. Regardless if you're applying with good or bad credit, it's important to look at all your options and fine print before making up your mind on a certain instant approval credit card. Your decision shouldn't just rely on the best interest rate or how cute the background of your card is. So what should you know when applying for a credit card?

 

One of the fundamentals of a credit card is understanding the difference between them. There are general purpose cards and private label retail cards. General cards can be used anywhere, like an American Express or Bank of America card, whereas private label retail cards can typically only be used at the issuing store, like a Victoria's Secret or Macy's card. General purpose cards are usually unsecured which means that the issuer extends a credit line based mainly on your credit history. On the other hand, secured cards are backed by funds you put in a deposit account that the creditor can claim if you default on a payment. A secured card is ideal for those with bad credit or no credit because the creditors assume little risk.

Once you've decided on the kind of card you're applying for, remember to understand your card's interest rates. They can range anywhere from 0 percent to as high as 30 percent depending on a number of variables. These variables include your credit score, income, assets, current debt load, credit inquiries, payment history and economic conditions to set your annual percentage rate (APR). Of course those with positive and proven credit histories will receive lower interest rates, but by paying your payments on time, those with bad credit can improve their score with a credit card and eventually be offered lower rates. The key to choosing the right card is to compare them between banks, credit unions, retailers, and credit card companies. Once you give your signature, you're locked into a legal binding contract so you want to make sure you know what you're signing up for.

If you've got good credit, an instant approval credit card may be the smartest and quickest option rather than chatting with someone on the phone or applying through the mail. Once you've searched credit card offers and compared the best credit cards, then it's easy to go online, fill out an application and know in less than a minute if you have been approved. The bank will then send your card in the mail and it may take a week or so to be delivered, but it's a much speedier process overall. Remember that instant approval doesn't necessarily mean instant spending. Once your card arrives in the mail you may have to call the issuer to confirm that you've received it.

While applying for an instant approval credit card for someone with bad credit may not be the best option, it can still be hassle-free if researched carefully. One way to look at being approved minus all the problems, is to fill out all their details in the form, not just the mandatory ones. Those who have a car or house under mortgage or have many dependents may be higher up in a credit card company's preference list. Also, people who are married are more preferred over those who are not. If approved, remember to use your card wisely in order to restore your damaged credit score.

Instant credit approval is easy, convenient and can be done from the comfort of your own home. Instead of choosing the first credit card that came up in your Google search results, compare different banks or credit card companies. Just because one card offers the lowest interest rate, the other features of the card may not be the most suitable for your particular situation. Applying with a good credit score will make the application process easier, but with the right research, applying with bad credit can also be feasible.

 

Image (CC) aeevans

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