What do Banks use to determine your worthiness for a credit card?

Question

When you apply for a credit card, what are the most important factors to have for getting a card and having a decent credit limit. I was just wondering if anyone knows what Banks look for and what factors help?? Thanks in advance!

Answer 1

Well, they usually look at your FICO score...

B/c really, take this: when you apply online for a credit card, say AMEX, and they say, we'll give you an "instant decision in 30 seconds."  Well, does the automated computer system take into consideration that you're doing good on this credit card, or you're paying good on this car payment?  No, they don't.  The online system does not look at the specifics...

Also, when you put yearly income, you can put basically whatever you want, because they (the credit card company) are legally not able to ask your employer your income.  So, go ahead, add an additional $15,000 to your annual income.

Oh, if you're new to credit, Capital One is good at giving credit cards to new credit customers.

Good luck! =]]

Hope mine was the best answer!!...hint..hint..=]] :p

Answer 2

This is a complex question to answer. Many different banks use a variety of scoring models to calculate information from your credit report to come up with a decision. Sometimes your information is put into an automated computer system that just gets a score based on your info from the bureau's. If the score is above what they require they will grant you a credit line based on how high above the minimum score you are. If it isn't high enough you are declined. Some local banks actually look at more than just your score. In general a steady job, and good income are good factors for you to have. If you don't have any previous credit these would be good things for you to have.  I would caution you from applying for too many credit cards all at once. Too many applications for credit cards in a short amount of time can hurt your credit score. It would especially hurt you if the first kind of credit you get is bad credit because of too many credit card applications. Hope some of this info helps you out. Best of luck!