Before applying for a credit card, ask yourself this important question: How likely am I to be approved?
There are two reasons why that question matters. First, understanding the odds of being approved for a credit card can save you time. You can narrow your search for a card to the ones for which you’re most likely to qualify and avoid the ones for which you don’t. Second, limiting your credit card applications can minimize negative impacts on your credit score. Each new inquiry for credit can knock a few points off your score, so the fewer cards you apply for, the better.
But what does it take to be approved for a credit card? And are there things you can do to increase your approval odds if you’re new to using credit or you’re attempting to rebuild your credit history? This guide explains everything you need to know about credit card approval.
- Your credit score is the biggest single factor in whether you'll be approved.
- If your credit score is high, you should qualify for a relatively low-interest rate and better perks.
- If your credit score is low, you'll qualify only for a higher-interest card.
- If your credit score is very low or you're just starting out, consider a secured credit card or a small personal loan to build or rebuild a favorable history.