Easy Approval Credit Cards
These days it seems that a credit card is almost an essential part of life, what with online shopping and automated payment machines for such services as train tickets or car parking. Unfortunately, many people find it difficult to get a credit card, because of either a poor credit history or simply an unfavourable financial position. If this sounds familiar, where can you look for an easy approval credit card which you are more likely to get?
Looking Beyond the Best Buys
The first point to note is that you have to realistic. The cards featured at the top of the best buy tables are simply not going to be available to people with poor or damaged credit ratings. These elite cards are aimed at people with perfect credit histories, and in many cases are to a large extent only marketing ploys to gain the issuer publicity by appearing high in comparison tables.
Moving Up the APRs
Obviously, no one would like to pay more for a credit card than absolutely necessary, but if you’re not being approved for the cheapest cards then moving up to slightly more expensive ones is the next step. Higher APRs generally mean easier approval, as the issuer is earning more in interest to cover the higher risk of bad debt.
Cards with higher APRs will still often give you valuable benefits such as balance transfer deals or rewards schemes, albeit not often ones as attractive as those available to people with excellent credit.
‘Rebuild Your Credit’ Cards
There are some cards actively marketed to people with bad credit. These cards have very high approval rates – but at a cost. By definition, people who apply for these cards will tend to have something of a chequered history in financial matters, and so will on average present a very high bad debt risk to the card issuer.
This of course means that the interest rate charged will be of a completely different level to the cheapest cards out there. Expect to be paying at least 25%, or in some cases up to 35% or even higher. Obviously, these cards aren’t a particularly good option for actually borrowing money, but can serve as a useful stepping stone onto the credit ladder while giving you the convenience of paying by plastic.
Secured or Prepaid Cards
These are the easiest cards of all to be approved for, as they don’t actually offer any credit facilities at all. Before you can use the card you have to credit it with funds, and once that money runs out you can’t use it until you reload it. This lack of credit line means that the cards are available to almost anybody, whatever credit rating. Indeed, with most of these cards, no credit check is even carried out.
‘Introduction Fee’ Cards
Finally, avoid cards which need a fee to be paid before you can even apply. While some such cards may well be legitimate, there have been many instances of people paying the fee and hearing nothing else, and never recouping their money. It’s simply not worth the risk.