Tips on What to Do if You Get Turned Down for a Credit Card

 

So you’ve gone through the long and terrible process of giving your details, only to find that you got turned down. This can feel a little insulting, like a rejection, especially if you feel like you could easily handle the card in question. So what can you do if it happens?

 

1. Try, try again.

 

Don’t get upset if you’re turned down at one company – they might have some strange requirement that you happen not to meet. Always try three times before you start to despair. Remember there are thousands of credit card offers out there, there is most likely one for you.

 

Whatever you do, though, don’t spend a whole day applying for every credit card you can find, just to see if anyone will take you. Each inquiry on your report is counted, and lots of checks on your record make you look desperate, making it even less likely you’ll get a good card – this is known as ‘shotgunning’ your credit.

 

2. Get your credit report.

 

Get copies of your credit reports (you get a free one from each bureau annually, take advantage of it). There might be something incorrect on there that’s making you look bad, and you need to get it corrected if there is. Make sure you do all this in writing, so there are records of it.  If there are errors that need correcting, make sure it’s done before you make new applications.

 

3. Phone the company.

 

It’s not a good idea to always deal with credit card companies by mail or on the Internet – it’s too impersonal that way, so you should try to phone them up and speak to a real person if approval is important to you. This way, you can tell them all your circumstances, make sure everything went through correctly, and question them if you get turned down. If you directly ask why you haven’t been accepted, then they usually have to tell you.

 

If you’re willing to be pushy, you might even get the decision reversed, since many customer service reps have some discretionary ability. If the person you got through to won’t budge, then always ask for their supervisor before you hang up.

 

4. Apply for a less prestigious card.

 

Yes, I know, it sounds bad – but you want a credit card, don’t you? Get a high-rate card from the company whose card you want, and then pay it off on time each month. You’re building your credit rating. The chances are that you’ll be able to persuade the company to replace your card with the lower-rate one after a few months of on time payments.

 

5. Get a secured card.

 

If you have a very bad credit rating, you might find that you are only offered secured cards. These cards require you to make a cash deposit before you can start using them.