5 Tips to How to get a first credit card in this blog will tell the 5 Secret to get your first credit card. Getting your first credit card is the most important step towards financial independence, Cash flow management, and budgeting. A credit card is a great way to build your credit score or boost your credit score, and it helps in cash flow management during a cash crunch.
Having credit is like having a two-sided sharp edges sword if use it carefully and are aware of risk then its very good plastic money to have in every hand otherwise its hell.
(A) Check your credit score
First, check your credit score. If you have a credit score between 700 to 900, you have an excellent chance to get credit card approval from any bank or credit card issuer. Otherwise, you need to boost your credit score or get a secured credit card.
You can check your credit score by requesting a free copy of your credit score from one of the three credit reporting agencies: Equifax, Experian, and TransUnion. This is First Tips out of 5 Tips on How to get a first credit card.
(B) Build your credit score
A credit card is a great way to build or boost your credit score, but if you do not have a credit history, it isn’t easy to get a credit card’s approval, but it’s not the end. You can get a Secured credit card against Fixed Deposit. This deposit acts as collateral and Security to the credit card issuer in caser cardholders do not make payment.
Some of the secured credit cards are ICICI Bank Instant Platinum credit card, ICICI Bank Coral Credit card, SBI Advantage credit car, and Kotak 811 DreamDifferent Credit Card. This is Second Tip out of 5 Tips on How to get a first credit card.
(C) Compare Different credit cards from Industry
There are two ways of getting a credit card, a First-Secured credit card, and a Second-Unsecured credit card. If you have no credit score or credit history, then you have only one option, get a secured credit card. In India, SBI, ICICI, and Kotak Bank offer issues secured credit cards against Fixed Deposit. Check Kotak 811 DreamDifferent Credit Card
There is a lot of credit card company in the Unsecured credit card company who provided a credit card. You should always prefer the credit cards from reputed banks like Amex Credit Card as they have a significant credit value attached to them. This is the third Tip out of 5 Tips on How to get a first credit card.
(D) Select the right credit card
While selecting the right credit card, First check the pattern of your expenses, like Shopping, Traveling, Restaurant expenses, etc. Different card issues different types of benefits when opening your credit card.
Check card Joining fees and Annual Fees. Some issuer issues credit without Joining fees and No Annual Fees Like ICICI Platinum credit card, ICICI Amazon credit card, RBL Delights platinum credit card ( With Condition).
So before applying for credit, compare Cost Vs. Benefit, then select the credit of your choice. This is the fourth Tip out of 5 Tips on How to get a first credit card.
(E) Apply and Activate credit card
There are typically three ways to apply for a credit card through Internet Banking, Online form fill-up on the website, or Offline through a Bank representative.
Once you have decided what the right card is, you will need to apply for it with the card issuer. They will either accept or deny your application for a credit card. While many this decision is based on credit history, credit issuers realize that first-time card applicants will have very different credit histories than more established credit card users.
Card issuers will ask about your current income. They use this information to decide what sort of credit line to assign you and commonly ask for proof of income as part of the approval process.
You do not have to have a bank account to open a credit card, but you need to prove that you have a source of income, so the card issuer knows you will pay back your purchases.
Secured credit cards do not require additional inquiries about your credit history. It makes them a preferred choice for people who want to build up their credit. The approval process is fast and easier for secured cards because the banks are already risk-free by accepting a security deposit from the borrowers.
Most banks report their secured credit cards to credit bureaus. This means that complete information about your credit limit and repayment behavior is being reported. This way, people who are efficiently managing their secured cards get a chance to build a good credit score and prove themselves as reliable candidates for taking on loans or credit cards in the future. This is the last Tip out of 5 Tips on How to get a first credit card.
How can I get a credit card for the first time?
Build your credit history by taking a consumer loan and timely paying the same, then applying for a credit card or Apply Secured credit. The Approval process is fast and easier for secured cards because the banks are already risk-free by accepting the borrowers’ security deposit.
How do you get a credit card if you have no credit?
Apply for Secured credit. The approval process is fast and easier for secured cards because the banks are already risk-free by accepting a the borrowers’ security deposit.
What is the best first-time credit card to get?
ICICI Amazon Credit card, ICICI Platinum Credit card, IndusInd Bank Aura Edge Credit card (No Income document required), Citi Bank Paytm Credit card (No Document required).
Which bank credit card is best?
Amazon Pay ICICI Bank Credit Card with No Joining Fees as well as Nil Renewal Fees. Simply CLICK SBI Card with Rs. 499/- Joining and renewal Fees.
Which bank gives credit card easily?
Assure Credit by Bank of Baroda, Instant Platinum by ICICI Bank, Insta Easy by Axis Bank, Coral by ICICI Bank.