It's normal to feel a little nervous when you apply for a credit card. A credit card application may not be a life-or-death situation, but there's always the frustrating possibility it won't be approved. It can be especially nerve-wracking if you're applying for your first credit card or you've recently had an application denied.
Although you can't guarantee success, you can make it much more likely. Here's your step-by-step guide on how to get approved for a credit card.
1. Check your credit
Your credit score plays a significant role in the credit cards you can get. Every credit card is aimed at a certain range of credit scores. These ranges are usually referred to as bad credit, fair credit, good credit, and excellent credit.
To know which cards you qualify for, you need to check your credit. You can do this for free with an online credit score tool, such as Experian CreditWorks℠ Basic. These tools show you which range your credit score falls into and the factors contributing to your current score.
If your credit score is lower than expected, review your full credit report for any errors that could be affecting it. You're legally entitled to one free credit report per year from each of the three consumer credit bureaus, which are Equifax, Experian, and TransUnion.
2. Choose the right credit card
Picking the right credit card is the most important part of getting your application approved. If you don't have good credit yet or you don't have any credit history, then the best credit cards will be out of reach for now and it'd be a waste of time to apply for one.
Credit card comparison
We recommend comparing options to ensure the card you're selecting is the best fit for you. To make your search easier, here's a short list of standout credit cards.
| Offer | Our Rating | Welcome Offer | Rewards Program | APR | Learn More |
|---|---|---|---|---|---|
Wells Fargo Active Cash® Card | Rating image, 5.00 out of 5 stars. 5.00/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. | $200 cash rewardsEarn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months. | 2% cash rewardsEarn unlimited 2% cash rewards on purchases. | Intro:0% intro APR for 12 months from account opening on purchases and qualifying balance transfers Purchases: 0% intro APR, 12 months from account opening Balance Transfers: 0% intro APR, 12 months from account opening on qualifying balance transfers Regular:20.24%, 25.24%, or 29.99% Variable APR | |
Discover it® Cash Back | Rating image, 5.00 out of 5 stars. 5.00/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. | Discover will match all the cash back you’ve earned at the end of your first year.N/A | 1% - 5% CashbackEarn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases—automatically. | Intro: Purchases: 0%, 15 months Balance Transfers: 0%, 15 months Regular:18.24% - 28.24% Variable APR | |
Bank of America® Travel Rewards credit card Apply Now for Bank of America® Travel Rewards credit card OnBank of America'sSecure Website. | Rating image, 4.00 out of 5 stars. 4.00/5Our ratings are based on a 5 star scale.5 stars equals Best.4 stars equals Excellent.3 stars equals Good.2 stars equals Fair.1 star equals Poor.We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs. | 25,000 points25,000 online bonus points after you make at least $1,000 in purchases in the first 90 days of account opening - that can be a $250 statement credit toward travel purchases | 1.5 points per dollarEarn unlimited 1.5 points per $1 spent on all purchases, with no annual fee and no foreign transaction fees, and your points don't expire as long as your account remains open. | Intro:0% Intro APR for 15 billing cycles for purchases. 0% Intro APR for 15 billing cycles for any balance transfers made in the first 60 days. After the intro APR offer ends, 19.24% - 29.24% Variable APR on purchases and balance transfers will apply. A 3% fee for 60 days from account opening, then 4% fee applies to all balance transfers. Purchases: 0% Intro APR for 15 billing cycles for purchases Balance Transfers: 0% Intro APR for 15 billing cycles for any balance transfers made in the first 60 days Regular:19.24% - 29.24% (Variable) | Apply Now for Bank of America® Travel Rewards credit card OnBank of America'sSecure Website. |
So how can you figure out your credit card options? Here are a few tips:
Look for cards that fit your credit range
Here are the top options for all the different credit score ranges:
- Best Credit Cards for Excellent Credit
- Best Credit Cards for Good Credit
- Best Credit Cards for Fair/Average Credit
- Best Credit Cards for Bad Credit
Check with your bank or credit union
If you're new to credit, it could be easier to get a credit card with your own bank. Since you have a history there, it may be more willing to issue you a card. Here are a couple other types of credit cards that are good when you're new to credit:
- Best Starter Credit Cards for No Credit History
- Best Student Credit Cards
- Best Secured Credit Cards
See if you're prequalified for any credit cards
Several credit card companies have tools you can use to see if you prequalify for any of their cards. While a prequalification isn't a guaranteed approval, it does mean you have a good shot at getting that card.
Here's how to check this:
- Go to the credit card issuer's prequalification tool. I've found the easiest way to do this is by searching the name of the card issuer and the words "credit card prequalification."
- Enter the required information. Card issuers usually just ask for your name, address, and the last four digits of your Social Security number.
- Check for offers. After you submit that information, the card issuer will show you any prequalified card offers it has for you.
3. Pay down debt
If you have debt, especially credit card debt, try to pay it down before applying for a credit card. While debt isn't a dealbreaker, a large amount can make credit card companies think twice about approving your application. There are two factors, in particular, they consider:
- Credit utilization ratio: The amount of your total credit that you're using. It's calculated monthly by dividing your credit card balances by your credit limits. Since it's updated every month, you could raise your credit score in a short period of time by paying off high credit card balances.
- Debt-to-income (DTI) ratio: Your monthly debt payments divided by your income. It's an important factor when applying for a mortgage, but it can also affect credit card applications. If your DTI ratio is too high, it can indicate you may have trouble paying an additional credit card bill.
4. Start the online application process
Once you're ready to apply for a credit card, the simplest option is to apply online. You'll see an "Apply Now" option on the credit card's webpage. Click on that to start the application.
Be prepared to provide the following information:
- Full name
- Date of birth
- Social Security number (SSN) or individual taxpayer identification number (ITIN)
- Mailing address (and your previous address if you've lived at your current mailing address for less than two years)
- Email address
- Phone number
- Annual income
TIP
Include all your eligible income
Your income is important, as card issuers use this to determine whether to approve your application and how much of a credit line to give you. Consumers who are 21 and older can list any income they have a reasonable expectation of being able to access.
5. Submit the application (and follow up if necessary)
At this point, you've done all the hard work. Double check everything on the credit card application, and once you're satisfied, submit it.
The application will process, and you'll get one of these responses:
- Approved: Your application was a success. You should get your new credit card in the mail within seven to 10 business days.
- Under review: The credit card company needs more time to review your application. This usually takes a few business days. If you want, you can call in to check on the status of your application. You'll receive a letter with the card issuer's decision, and you may also get an email with this information.
- Denied: The card issuer didn't approve you. This is the response consumer's dread, but it's not always the card issuer's final answer.
It may surprise you, but it's possible to overturn a credit card denial. Call the card issuer and ask the representative if they can give your application another look. There's most likely a phone number listed either in your denial letter or email you can use. If not, the card issuer's standard customer service number also works.
Find out why your application was denied in the first place and explain to the representative why you'd be a good cardholder. For example, you could point out your strong payment history on other credit cards and loans.
You can even call the card issuer multiple times if necessary. I've had success this way when the first representative wouldn't help me. Remember, you only need one person to say yes and overturn that denial for you.
Choosing a credit card
Don't you wish you could take a peek inside a credit card expert's wallet sometimes? Just to see the cards they carry? Well, you can't look in anybody's wallet, but you can check out our experts' favorite credit cards. Get started here:
Best credit cards
FAQs
You can apply for a credit card online through the card issuer's website. To maximize your chances of approval, make sure you pick a credit card intended for consumers in your credit score range. Here's a full list of steps to follow so that you apply and get approved for a credit card:
- Use a free credit score tool to check your credit.
- Choose a credit card that fits your credit score range.
- Reduce debt, especially credit card debt.
- Fill out an online application.
- Submit your application and follow up with the card issuer if necessary.
To choose a credit card, you need to figure out which cards you qualify for and which features you want.
Your credit score has the biggest impact on the credit cards you can get. Good to excellent credit means you practically have your pick of the top-rated credit cards. If your credit score is lower or you haven't established a credit history yet, then you'll have fewer options. In that case, you should look at credit cards for bad or average credit, secured credit cards, and student credit cards if you're in college.
After you've figured out your options, you can narrow them down based on their features. That could mean rewards or 0% intro APR offers if you're checking out the best credit cards, or no annual fee and free credit score tracking if you're looking at cards to build your credit.
Credit card companies look at a wide range of factors when evaluating your application, but these tend to be the most important:
- Credit score
- Income
- Payment history
- Credit utilization ratio
- Debt-to-income ratio
- Recent credit applications
If your credit card application is denied, call the card issuer and ask them to reconsider your application. Make sure to mention any points in your favor, such as always paying on time (if that's true).
It can also help to address the denial reasons, which will be in the denial letter that the card issuer mailed you. Let's say you already have a credit card with this card issuer, and it doesn't want to offer you any more credit. You could suggest that it lowers the credit limit on your existing card with the issuer by a certain amount, and then use that amount as the new card's credit limit.
