Find out why your credit card application was declined

1 December 2008

By knowing what banks are generally looking for, you can improve your chances of being approved for a credit card.

Banks have very rigid lending criteria. If you don't match up to their criteria, you'll be automatically declined. Additionally, you probably won't get a satisfying response as to why you were rejected as banks are extremely protective of their lending rules. Remember that the bank is taking a credit risk by offering you a credit card. They want to be sure that you have the ability to pay off your credit card so they don't lose any money.

When processing a credit card application, banks look at a number of factors. The main four include:

Income.
Credit history.
Employment status.

These can be the main criteria that could affect your chances of being approved for a credit card.

Before applying for a credit card, ask yourself:

Is my income stable and ongoing? Will I be able to cover my minimum monthly repayments?
What other debts, such as other cards and loans, do I have? Do I have any defaults on my credit file?
Is my job permanent? Am I still on a probation period?

If you're still looking for the right credit card, the Citibank Clear low rate credit card, with an interest rate of just 12.49%p.a on purchases, could be for you. This credit card offers up to 55 days interest free and has a competitive annual fee of $65. With the Citibank Clear credit card, there is also access to a range of benefits and discounts.

Find out more about why your credit card application was declined.

Apply online for a Citibank Clear credit card.

Compare credit cards.

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