How to Apply for Credit Card Online

Most of the time people think of credit cards as enemy when it comes to savings and investment. However, for some people credit cards are extension of their credit lines. Some people use it for additional capital in their businesses. One of the greatest challenge they encounter is getting their first credit card. So, how does one apply for credit card online? Is it easier to be approved when you applied online? Let's find out.

The Need For a Credit Card

Before you proceed in your online application for your first credit card, you might want to ask yourself first - Why do you need a credit card? Did you know that credit cards are your worst enemy once you let it take control of you instead of you taking control of it? If you are just going to use it for your unnecessary wants, then you better forget about it now. If you are just going to buy a new gadget or a travel package and you are short in cash, better think twice before you proceed.

Are you going to apply for a Credit Card Online?

Credit card debt has one of the biggest interest among different kinds of debts. It can even reach the point where you are only paying the interest and the bill keeps growing and growing because of it's interest. If you are going to swipe your card (if ever you've been approved for this purpose), then forget about it for now. Don't rush for that online application. But, if you are in need of additional capital for a business and you don't have access to other debt instruments, then a credit card can be a solution. Make sure that the interest rates that credit cards will charge will be smaller than your revenue. You might also want to apply for a credit card because you wanted to enjoy the perks and privileges through some credit card promos. If your reason is more of the latter, then you are good to go.

Online Application Form

The traditional way of getting a credit card is by applying directly in the bank or by having contact with a credit card agent who will process your application. This is the same process I go through for both of my credit cards. The agent will provide all the forms that you need to fill-out and they will be the one to consolidate all documentation requirements from you such as valid ID's, proof of income, payslip, certificate of employment, etc. Today, banks and credit card companies offers an online way of applying for a credit card. The first step is to visit the bank's website and find the online application link. Usually, it is found on the credit card section of their website. Some banks allow application through filling-out online forms while some only gives an online copy of the application form that you will fill-out and submit via e-mail or fax.

Documents and Requirements

Just like the traditional way of application directly through the bank or credit card company or through a credit card agent, the online application for credit card also requires you to submit certain documents. These documents are proof of your identity and your capacity to pay for whatever credit limit they will set. These are usually your valid ID's such as government ID's, passport, driver's license or even postal ID if available. You will also be required to submit Income-tax return document, proof of income or your salary, and certificate of employment. Since you apply for credit card online, these documents should be submitted electronically. You will be required to submit scanned copies of the original requirements and then send it via e-mail to the address that they will provide. You should be careful of the e-mail address that you will send to since the requirements are sensitive and contains your private information.

Additional Requirements

Before you process everything stated above, you should take note that applying for credit cards is not for everyone. First, you should be of legal age if you are applying as the primary card holder. For some it can be 18-65 years old while other credit card companies will not let you apply for credit card online until you reach at least 21 years old. For secondary cardholders, you need to be at least 13 years old. Credit card applicants are sometimes required to have a local contact number at home or at work.

Credit card application is very tedious. It is because not every bank or credit card company will allow everyone to spend and max-out all credit cards that easy. Banks also experience losses from people who do not pay their monthly dues. So, I guess application in person or through online is not different but it is more convenient and easier if you apply for credit card online.

Image credits :

Mark Hugh Neri

Looking for financial planning workshop or for life and/or health insurance with investment options? Got questions related to personal finance? Feel free to message me at Money Gizmo (see link below)

Subscribe to Money Gizmo

Get the latest posts delivered right to your inbox.

or subscribe via RSS with Feedly!