Credit Card Application

Lynette Hill asked:




Most of the time, when credit applications are declined, there is no clear answer explaining the reason for being turned down. Many credit companies do try to avoid explaining the specific reasons why because they want their lending criteria to remain a secret. For the most part, credit card companies do not want to lose money on people who cannot afford to pay back their debt. This is the reason why they take their time assessing a person’s qualification before approving their credit card application.

Card companies seek the following qualifications for people who send applications:

• Sufficient income
• Excellent credit history
• Stable employment
• Stable living arrangements

Not meeting or exceeding these requirements is the most common reason why some card applications are declined.

Sufficient Income

The obvious reason for this requirement is that card institutions want to ensure that the cardholder has the funds to pay off their credit debt. Note that some card companies also take into consideration any types of debts such as other cards or loans.

Excellent Credit History

All card companies will assess each applicant’s credit file before approving the application. Credit history will include the following details:

• Any previous loans for the last five years
• Previous credit card applications and current card files
• Defaults or overdue accounts
• Previous and current employers

Ideally, an applicant should keep his applications down to a minimum within a short period of time otherwise card companies can track each one and translate this as being desperate for a card.

Stable Employment

People with stable employments are often perceived as those that can afford to pay off their credit debt. If you are the type who changes jobs frequently or is still in probationary period, there is a big chance of being declined for a card.

Stable Living Arrangements

There are some companies who consider living arrangements when assess applications. If an applicant moves around so much, he is likely to be declined.

Louis

Owen Jones asked:




‘Flexible friend’ or ‘plastic money’ are two of the most common informal terms used to refer to credit cars in the English-speaking countries. These are quite affectionate terms and most people are glad of having a credit card or two. There are also individuals who cannot trust themselves with a real credit card and they usually use pre-paid cards, which means that you have to put the cash into the card’s account before you can draw any money out. These are clearly not credit cards as the holder does not get any credit. Debit cards are like this.

A credit card is an essential function of modern living for most people. There are reasons for this such as: mugging is a concern in some cities; people do not have time to go to the cash point and some people buy a lot of goods over the Internet such as from eBay. A lot of people buy their groceries on line and have them brought round when they get home from the office.

Before you submit an application for a credit card, it is worth learning a little about the safety measures you ought to take in order to be protected by federal law in the USA and national laws in other lands.

Make certain that you can be correctly identified from the details that you provide on the application form especially if you have a common name like John Smith or Ann Jones. After all, you do not want to be refused for something that your namesake was responsible for and you do not want somebody else to be able to steal your identity and get their hands on your account either.

The regular American citizen has about ten credit cards, so you can imagine the number of applications for credit cards that have to be processed every day. If you do not help with your identification as much as you can there could be long delays too.

When a credit card form says that you have been ‘pre-approved’ it does not mean that you are guaranteed to get a card. It means that the firm guarantees you that they will reflect on your application. In other words, it is nonsense – just a marketing trick.

If you receive one of these pre-accepted forms, you might just as well go on the internet and submit an application to the same bank there. The on line application form will normally ask for a reference number and you have that on your piece of paper. If you use that number, you will not lose any of the rewards that you were being offered, but your application will be looked at far more quickly that if you post it.

When you receive your credit card, sign it on the back immediately. You should also make a note of the card number on the front and the telephone number on the back. If you misplace the card or suspect a scam, you should get in touch with that number right away and have the card ‘stopped’. You can get another one from the same firm pretty quickly.

You will probably be offered some kind of insurance with the card. Read the information about this very thoroughly. Some schemes are outstanding others are rubbish.

Kristin

g0thicicecream asked:

The people at WGN in Chicago get a credit card application mailed to them for Bozo the Clown.

Tommy