Need Help Applying for a Credit Card?

Credit cards are a great way to build your credit and improve your financial habits. If you’re looking to get a credit card, there are certain steps that you should take to make the process easier. Here’s what you should know.

New Card Application

Whether you got an invitation to “Apply Now” in the mail or a promotional email saying “You’re Pre-Approved,” the first step to get a new card is the application. This can be done as a paper application, online, or a mobile phone application, or you can go to your credit union or bank, and they can help you through the process with one of their credit cards.

Information You’ll Need

There is certain information you’ll need to apply for a credit card, most of which you probably already know off the top of your head.

Here’s a quick look:

• Name and address
• Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN)
• Income information
• Employment verification

Credit card companies need this information to verify your identity and check your credit report to verify if you will make the payments on the card on time.

Your Credit Score

Before applying for a credit card, make sure your credit score is as high as possible. The higher your score, the better card terms and interest rates you will be offered. You can check your score for free without any credit impact on SavvyMoney through your online or mobile banking.

Type of Card

There are different credit cards for different purposes. Consider what type of credit card you want before applying. Ask yourself the following:

• What kind of rewards would best benefit your spending habits?
• Is an annual fee a problem?
• How will a new card’s fees impact your budget?
• What about foreign transaction fees?

Starter or Credit-Building Cards

• Best for individuals who are new to credit or rebuilding credit to help build credit history safely.
  • Designed for limited (thin) or damaged credit
  • Typically have lower credit limits
  • Fewer perks
• Examples include secured credit cards and student cards.

Everyday Rewards Cards

• Best for everyday transactions to reward spending on things like groceries and gas.
  • Earn cash back, rewards, or points on purchases
  • Simple rewards structure
  • Often, these cards have no annual fee
• Examples to look for: 1% or 2% cash back or flat-rate rewards cards.

Low-Interest / Balance Cards

• Best for managing debt or large purchases to reduce interest costs and help pay down balances.
  • Low APR or 0% intro APR offers
  • Limited rewards
  • Focused on saving on interest

• Examples to look for: 0% intro APR or Low-APR cards.

Travel and Premium Cards

• Best for frequent travelers or big spenders to unlock travel perks and experiences.
  • Travel points or miles
  • Airport lounge access, travel protections
  • These cards typically have an annual fee

• Examples include: Airline cards, hotel cards, and premium travel cards.

Be Strategic About Applying

When you apply for a credit card, the card issuer pulls your credit report to determine your creditworthiness. This is considered a hard inquiry and will cause your credit score to go down temporarily. Keep this in mind when applying for a new card. If you apply for a bunch of cards in a short period, it can ding your score and hurt your approval chances.

Bottom Line

Before you apply for a new card, do your research, check around online and in-person, and check your credit score. Only consider applying for a card when you’ve researched what you think is the best option for you and your situation.