Many of us have heard of instant credit card applications, but how many know exactly what the procedure is like and what are the consequences or benefits one can get by choosing to go for instant credit card applications?
First of all, let us be clear and do not confuse the term "application" with approval. They are used with pretty much the same meaning, but what the numerous advertisements in your mailbox actually mean by "instant approval" is actually "instant application". No bank or financial institution from this country or from others as well will grant you credit just by having your name or social security number. They need to know what kind of client you are and plenty proof of that is found in your credit report and is perfectly reflected in your credit score. By making your monthly payments late, by not paying off your balance, by having a history of bankruptcies or unsatisfied debts, you will most likely not be granted a regular credit card line. There are other possibilities for people with bad credit, like pre-paid or secured credit cards, but you will not benefit from low interest rates or special rewards with these.
With instant credit card applications, you will receive a response from the bank within few minutes after completing and submitting the form with your personal information. After this, the bank will thoroughly check your financial history and it can take a few days before you obtain approval and are actually able to start using that credit line. In addition to this, you may be provided with a temporary credit card that will allow you to start shopping online after you got the approval and are expecting your credit card to arrive in the mail.
Instant credit applications are just as safe and secure as the traditional way of applying for a credit card, if not more secure. Today every bank and credit card issuer has a presence online and the procedure is secured with highly developed encrypting technology, which makes it practically impossible for someone else to access and use your personal information. There are also ways to double check the security of the page, like viewing the certificate and making sure it uses SSL technology. Also, do not fill out any private information if you are not sure you have a good antivirus that will detect any possible malware.
But most important, you should read very carefully the policy of the financial company, before choosing to submit an instant application. Make sure you meet all the requirements and you agree with all their conditions. Usually you will learn about the specific criteria the approval will be granted so check your credit score and report and decide if you are really eligible for that line of credit. Applying blindly and, as a consequence, being rejected can be very harmful for your credit score and it can lower it considerably. Do not apply to many at once, read carefully their policies and submit the application when you're positive you'll be approved.