The Important Steps To Applying For A Credit Card
When you become an adult, there are several responsibilities that are placed on you, one being your ability to vote and the other is the steps to apply for your very own credit card. Both stages of your life will generally become legally allowable when you reach 18 years of age and although the ability to vote is a given, the application of a credit card requires a few important steps. Considering the fact that having your own credit will affect your entire future, here are just a few of those steps you will need to take in order to apply for your very own card.
There are many places that will accept your credit card application; however, that does not mean they will be overly anxious to come through for you. There are two major requirements that companies will look for in credit card applicants, one is a steady source of income which will generally come from a job. There is a good possibility that the applicant may still be in school at 18. The second is a decent credit rating. Considering the fact that this will be the first credit card, there will be no credit history to tap into.
Many department stores will extend you a small amount of unsecured credit in order to increase their business, and some would say to help you get your feet wet. Fuel companies also offer a related option, and their goals may be similar to the department stores. The problem with either of these resources is that you will have to make sure that the balance is paid off in a hurry, especially since the interest rates are generally higher than most other credit cards. You can also secure your own credit card through money that you deposit ahead of time; however, some of those cards usually cost a hefty annual fee to maintain them.
The Parent Or Friend Factor
There is always the possibility that your bank will be willing to extend you a credit card, but in order for that option to become a reality, you will need to have been dealing with a bank for a while. One option that has always been successful is to have someone sign for you in your application. The danger with that option is that if you don’t pay your balance back in a timely manner, it is not just your credit that could end up suffering.
The Possibility Of Denial
First-time applicants and individuals with less than perfect credit are two of the biggest groups to get denied, and both can be corrected. It is in your best interest to know the requirements and your current financial state before you apply for that first credit card. Denials for credit applications are not simply rejections that can be corrected; they are also marks against your credit report at the major agencies. If you don’t think that you will be approved, and you would prefer not to saddle someone else with your credit responsibilities, forget all the other options and secure your own credit card.