Do you have a straightforward approach while filling your credit card application

For most of the companies offering credit cards, the applications are somehow identical, inquiring about you and your finances.  It is a good policy to answer their questions truthfully.

Filling in an application for a credit card is normally a boring process.  The company wants details about you and the factors affecting your financial status. This is very important piece of information for these companies as their entire decision process is based on this input.  What they want from you is a true picture of your financial position at a point of time.  Remember the following tips while filling the application form.

Information on your house – owned or rented – This is one of the standard questions.  In the past, the factor of owning of your home was considered more favorably instead of renting.  However due to a sudden increase in the home foreclosures the advantage is diminishing fast.

You need to be honest while answering this question.  You cannot make wrong statement about this and get away with it.  This is not the only factor affecting the approval of your credit card.  You should not hurry to send your application. If you are in the process of moving from a rental house to your own home, wait, close the buying deal and then apply for the credit card.

Your employment status – If you’re unemployed, no need to lie on this point.  You can hold on till you get a job. Your employer may be approached for cross checking. If you’ll feel your income is too low to be eligible to enter credit card, take a part time job in order to increase your income. Details of your household income – This is most popular question on your application.  Your answer will decide whether or not you will get the credit card.  All companies have a requirement of minimum household income.  If you are below this amount, your application will be declined.  Many companies will mention the minimum amount of household income required for successful processing of your application.  It’s not correct to make up a source of income to increase your figure.  You should include only that income which is actually received or receivable.

This category of income includes everything which comes to your home.  If you are receiving some dividends from stocks or income which is from part time jobs or income from your small household business, you should include it.  The more the income, the higher will be your credit limit.

Your debts – You should remember to report all the debts which are legitimately due.  Instead of hiding some debts, tried to pay off small ones, to show a better picture on your application. Information about your previous applications (within past six months or a year) – This is important for the credit card issuing company. Remember, all your applications are entered on your credit report. So the company is going to get this information from that report later. Your incorrect or misleading information will seriously affect your future possibility of getting a credit card.

Every time you apply for a credit card, if will affect your credit score. Every application is recorded in your credit history. So do not apply for many credit cards unnecessarily. After all you will have to pay the balance on them sooner or later!

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