If you’re ready to apply for a credit card, you may hastily complete a pre-approved credit card offer that arrives in the mail. This is one way to get your hands on credit. But it’s not the only option available to you.
Applying for a credit card online is convenient and fast. Here are four ways to apply for a card online.
Decide which credit card works for you.
When applying for a credit card online, don’t complete an application for any card. Credit cards differ, and some cards are designed for specific credit types and spending habits. Before completing any online application, evaluate your credit health. Choosing the right card for your situation lowers the chance of a creditor rejecting your application. Do you have good credit or poor credit? Are you looking to establish a credit history? Do you want to earn rewards or cash back? Will you pay your balance off each month?
Compare rates and terms.
If you receive a pre-approval offer in the mail, you may have nothing to compare this offer with. This isn’t the case if you apply online, as several financial websites let you search and compare features of multiple credit cards.
Don’t skip comparison shopping. This is the only way to know that you’re getting the credit card with the best – or at least fair – terms. Features to compare include the interest rate, the annual fee, the late fee, the grace period and the balance transfer fee.
Apply for one credit card at a time.
Rather than submit multiple credit card applications online, submit one application and wait for the credit card company to respond. Some people take a different approach and complete application after application. However, this approach can result in unnecessary credit inquires, which may temporarily drop your credit score. Most credit card companies respond to online applications quickly, and in most cases, you’ll hear back within a few hours.
Protect your personal information.
Online credit card applications will ask for your personal information. This information is necessary to process your application and check your credit history. But unfortunately, supplying this information online can put your identity at risk.
Don’t trust every online financial website. Although the majority of online credit card applications are associated with legit financial institutions, you may stumble upon a fraudulent site.
To keep your personal information and identity safe, never respond to unsolicited credit card offers that arrive through email. Only submit online credit card applications through a bank or credit card company’s official website, and only apply online if you can verify the security of the website. For example, secure sites will have a padlock or https in the url.