In today’s world, having a credit card or two is essential. You can use them for everything from booking our travel to paying for food at restaurants. But how can you get your hands on one? And how do you know if you are eligible? The answer is simple: follow these steps!
You must be at least 18 years of age
If you’re under 18, unfortunately, you can’t get a credit card. You will need to wait until you turn 18 before you can apply for a credit card.
However, there are other ways of getting access to funds before your 18th birthday.
For example, your parent or guardian has agreed to add their name to the account and share responsibility with you? This can be helpful if they’re willing to be able to offer financial support in some way. It’s also worth asking whether any other trusted adults could help out if needed – perhaps someone close who cares about your welfare?
You must have a stable income
It will help if you have a stable income. You must be at least 18 years old. If you’re younger than 21, most credit card companies won’t accept your application for a credit card.
To get a card before you turn 21, try asking your parents or another adult with good credit to cosign for it with you and make sure they pay their bills on time. In this way, even though you’re not yet an adult with legal responsibility for paying off the bill, someone else is legally responsible for any debt that might accrue on your behalf until you reach age 21. Until then, they become liable if they don’t help pay off any amounts that aren’t covered by insurance policies.
You need to have a bank account
Having a bank account is the first thing you need to do to be eligible for a credit card. A bank account allows you to receive and pay your credit card bills on time. If you don’t have a bank account, it will be difficult for you to sign up for a credit card because financial institutions require that their customers have accounts with them before they can issue the cards.
When opening new accounts at different banks or other financial institutions, you have many options available. So don’t worry if yours closed recently, as long as they were reputable.
You must have a good credit score
A good credit score is needed for you to get a credit card. Credit history is essential in calculating your credit score and determining how likely you are to pay back what you owe. Your FICO score ranges from 300-850 and is based on information from various sources, including public records and your personal history with lenders.
Credit scores are calculated based on several factors, such as:
- How many times have you applied for credit?
- How long have you had your current accounts open?
- Are there any late payments or outstanding balances on any of your accounts?
SoFi experts explain, “Get approved for the credit card, and set up direct deposit** to boost your 3% cash back card for 365 days when you redeem it to pay down eligible debt, save, or invest. You’ll earn up to $300 too.”
In short, to be eligible for a credit card, you must follow the above instructions to get one successfully.