Credit Repair Services

Credit Card Application Declined? What to Do

There are several reasons why not everyone who applies for credit card is approved. Usually, Credit card company check for your credit history. In most cases, a declined credit card applications  maybe related to having bad credit scores. Applying for a credit card requires a good to excellent credit. When you have a fair to bad credit this can mean a denial. When your credit card application was declined, you may still have an options.  Here are some things to consider doing to remedy the situation:

Be Careful About Applying Again

Every credit card application you make is recorded to your credit file. Too many credit card applications in a short period of time makes you look desperate.  This can affect your credit score. If you denied once, when you reapply you should be extra careful. When re applying for credit card, make sure to wait and check the reason for your denial.

Find Out the Reason for Denial and Fix It

Once you applied for a credit card, the credit card  issuer has to send you a letter. This contains the explanation why you were denied for your application. They will also include the credit report used to make their decisions. When you have the details for denial, you may request for a copy of your credit report. Make sure to review your credit report, and in the adverse action letter you can determine how you may improve your credit score. Spend your next three to nine months improving your credit score, so that you are approved when you re apply.

It is advisable to review your credit report twice a year. And if your credit card application was decline because of  inaccuracy to your credit report, You may let the credit card issuer know and dispute the error information. In most cases when credit card application was made at a local institution being able to speak with someone about your situation may lead to approval even if your were originally decline. But in most situation you will be required to dispute inaccuracy with the credit bureau.

Apply for Less Demanding Credit Cards

There are some department store credit card that will approve you.  Even if your credit is less than desirable which are considered credit card with a bad credit.  Yes, this could be an easy application process, however, you have to be prepared for a low credit limit and a high interest rate. This also maybe a unsecured credit card and some financial institution may have your personal details. try to avoid carrying balance, make sure to make payments on time for your monthly payments. Start improving your credit score by making sure to pay for the whole amount not just the minimum payments to avoid getting a bad credit and for you to build up a good credit standing so you can apply for a better credit card after few months.

If your credit require fixing from a credit repairs, now is the chance to apply for a secured credit card.  Secured cards generally requires  a security deposit, and can come with other fees and a relatively high interest rate. However, if you are careful, and if you show that you are responsible, you can eventually get to the point where you can apply for a more desirable credit card, and enjoy a higher credit limit, a lower interest rate, and other perks such as rewards.

Bottom line is there is no perfectly credit. Building your credit score is a must for you to be approved for a credit applications. Avoid having a poor credits especially if you  have plans of applying for a better credit card.  Always remember that credit card companies conduct a credit check to your credit history. Start building  and maintain a good credit.