How you can Stop your Credit Card Application being Rejected

A good credit history is a major factor in getting your credit card application approved.

Bad Credit Card Record?

If you’re afraid you have a bad credit card record, or simply can’t comprehend why your constantly getting rejected credit card applications, this article is for you to help get around these issues.
I was inspired to write this article after I received this post:

After applying for Commonwealth and Qantas Amex cards, both became rejected. I don’t really understand why, I’m earning about $63000 a year, and I have no mortgage, and strangely enough, a flawless credit history. The most irritating thing is neither firm explained why I was rejected. Do you have any suggestions?

Check your Official Credit History:

For starters, you should check to see if you really do have a perfect credit history, and if you don’t, find out why. You may surprise yourself – clerical errors are not uncommon in peoples credit card histories.

If you find anything odd in your credit report, you should make further inquiries into it with the firm. Don’t be afraid to ask them why your application became rejected as well, it won’t hurt, and you may possibly find the root cause.

Once you have improved your credit file you may be able to reapply for another credit card that does offer you additional benefits. However, you first need to understand why you were rejected for the credit card.

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Constant Applications after Rejection:

Whatever the reason your first credit card application became rejected, it will be present on your credit card history. Firms don’t have the time or resources to individually check the details of each of it’s applicants prior rejections.

Therefore, if you have one rejection, a credit card issuer may simply base their rejection on that, creating a steady stream of invalid applications. Once you have been rejected though you should wait at least three months before you apply for another card. Some banks also run automated rejections if you have applied for another card within being rejected of a week for another card.

It works the other way as well – if you start with an incredibly solid spending/payment record for your credit card, providers will fiercely aim for your application and approve it at the drop of a hat.

Therefore, make sure you have a relatively clean financial history especially before applying for your first credit card.

Factors you may not take into Account:

American Express along with a few other credit card firms, analyse your housing situation and employment records.

So if you are moving houses frequently, have just settled into a new house, or have been rapidly in and out of jobs, alarm bells go off and your application will get a nasty rejection.

Also, before you apply try to do enough research to make sure you meet all of the minimum requirements. A rejection negatively impacts your credit file so you should avoid it by not applying for cards that are impossible for you to be approved. You should also strongly consider a credit repair service to help you improve your credit rating.

6 Tips to help your Credit Card Application Approval:

• Check your credit card history – If it’s bad, wait over 6 months till your next application.
• Even with a good history, if your first credit card is rejected, wait at least 2 weeks till your next application to avoid the automated denial of your application. Credit card companies don’t like people who are desperate for credit and a good sign of that is lots of applications in a short period of time.
• Try to clean up your financial situation if it’s not too sharp, whether it’s mortgage or any bank payments.
• Ask the credit card provider who rejected you why? Best take it straight to a branch for face to face customer service, since your online query is much more likely to be a vague response or simply ignored.
• Wait until you’ve settled into a new job or house.
• Consider a credit repair service to fix your credit rating.

Rejection for a credit card can be for a few different reasons, not only for having bad marks in your credit file. You can probably contact the credit company to find out the exact reason you were rejected. You might not meet the minimum requirements like age or income. If that is the case there is no way around the rules. However, credit issues can stem from having overdue or defaulted credit accounts. It is important that you verify that all information in your file is correct, if not take steps to fix the issues. If your card has been used fraudulently you should be able to correct it and restore your credit rating.

Bad credit rating credit cards may be your only option if the problems with your file are in fact your fault. The current negative marks on your card will stay on it for a long time. For example, when you apply for financing and credit it stays in your file for five years. Overdue accounts, writs, summons and judgments are also kept for five years. Bankruptcy files will stick with you for seven years.

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