It may be your case to have made a request for a credit card at a bank and after a while you receive the sad note that your plastic has not been accepted. If you are one of the people who struggle to get a card and often ask yourself, why didn’t my credit card be approved? Maybe you should read this note.
The procedures to grant you a credit card
Currently, you can carry out the procedures of your credit card at the branch, by telephone, through a field agent, or even online. Basically, the requirements for all are the following:
- Be of age
- Check income
- Have any current or expired credit less than 3 years ago (Except for student/university credit cards )
The vast majority of credit cards are rejected due to credit history conditions in the Credit Bureau, that is, they have unpaid debts and arrears greater than three months.
Why didn’t my credit card be approved?
But there are also other causes that can answer your question. Why didn’t my credit card be approved? let’s see which ones:
You do not meet the required income
Each credit card has a minimum salary that you must meet and be able to verify in order to be approved. These revenues are determined by the issuer of the plastic according to the type of card and you will have to exceed them for the plastic to be approved.
If you have not been able to receive your plastic for this reason, what you can do is look for lower-end card options that require a lower income.
You meet income but not pued as check
It is very important that this income can be verified through bank statements or payroll receipts. Not being able to verify what you perceive is practically the same as not earning anything and banks will not be able to grant you a card.
You already have many credit cards
The number of credit cards you already have active can influence the approval of a new one. It is not a good sign for the bank to have many plastics, as this makes you a risky person. In addition to this, if your salary is just above the required limit, it is very likely that they will not grant you the card you are requesting.
To mimic this, you can go liquidating and canceling some cards that you consider are not very useful, for example:
- Very high CAT
- Very high commissions
- The cards with the least promotions
- The ones with the lowest line of credit
This will open the way to the new plastic. Remember that the ideal is only to handle two credit cards .
The relationship with the bank is very recent or there is no relationship
You should know that if you do not have a bank or payroll account with the bank where you intend to apply for your credit card, you have a lower probability that it will be granted. This happens because many banks refer to the frequency with which you receive payments and the amount of them.
You are not registered in the Credit Bureau
For this of the credits it is highly recommended to be in the credit bureau records even if it is with a rate plan or a departmental card, otherwise, the banks cannot know your credit behavior and it is very unlikely that they will grant you a credit card blindly”.
You have too high balances on other credit cards
Banks take this point very seriously. If you already have other credit cards and you are almost at the top of the line of credit or your cards are overdrawn it is almost certain that they will not give you a new plastic.
In the bank’s risk analysis, this activity suggests that you do not have enough money to cover the debt and the financial institution will not want to risk this happening.
You keep personal or payroll credits active for high amounts
Another common cause that credit cards are not approved to do with the fact that you keep Cred i cough either payroll or personal assets and that these are for very high amounts it generates uncertainty that can cover both expenses. Remember that in general the payment of these credits is domiciled, so you don’t really have this money anymore, nor can you allocate it to anything else.
These problems can be added to the common ones such as:
- Maintain a bad credit history with arrears of more than three months
- Have made a withdrawal for the settlement of a previous credit
Now yes … Why didn’t my credit card get approved?
For any of the above reasons, but don’t be discouraged! For all points, there is a solution, except for the remover. In this case, you must wait 6 years for this bad record to be deleted from your credit history.