Preparing to apply for your first credit card is a key step at the beginning of your financial life. It is certainly not something you can do lightly; it is a process you must know in detail.
Although legally, from 18 or 21, you can apply for a credit card, not all banks will give you one. That is why we have prepared a series of steps to follow for you to apply for your first credit card successfully.
Are you ready to apply for your first credit card?
Whether you’re just entering the legal age to apply for one or you’re old enough to be thinking about it, a credit card is the official birth of your credit life. Anxiety about this is normal, as you may be jumping into a world that was unknown to you until recently.
Or maybe you already understand how they work, and starting this process generates fear in you. Fear of not knowing how to organize yourself to pay the installments or fall into the debts that a tool of this type can bring.
Applying for your first credit card could be compared to taking the driver’s license test. Just because you are legally eligible to apply for one doesn’t mean you can do so without something coming up at the last minute to slow you down.
It is normal to be afraid
Having a credit card is likely not something you are used to. The responsibility of paying installments, the purchasing power it gives you, or the fact of having the possibility of obtaining benefits are important aspects of what will be your economic future.
Learning all you can is key; this is not an adventure you want to jump into blindly. Your credit history could be at stake, and with it, the obtaining of future credits or better cards when you decide to apply for another.
It’s common for people to be turned down
It is not a piece of cake to apply for and own a credit card, especially when you are a young person with a credit history that certifies you as a debtor. At the same time, you need a stable income with a job unless you want to have a card with someone representing you.
At the same time, a credit card represents a before and after in terms of taking care of expenses. Therefore, it is ideal that you are prepared for the changes in your financial life.
Steps to apply for your first credit card
This is a relatively simple process if you have prepared yourself sufficiently. One recommendation would be to understand how credit works and why it is important to be aware of interest rates.
Choose the bank and card to apply for
Choosing the first option is not easy; you will have to consider the different options for which your non-existent credit history will validate you. Normally, you will not have access to many options, but you will always have some that cater to your needs
Among the best options for young first-timers are secured credit cards or student cards.
On the other hand, a relevant point to consider as a recommendation would be to start with a card with a low APR and a benefits program you understand, making the most of the advantages the card gives you.
Apply for the safest option
Canceling your first card soon after applying is the worst thing you can do as a first-time lender. The options offered by the banks may not be the most appealing at first, but they will certainly be the safest for you to start your credit history on the right foot.
When you contact the company, you will have to see if you can opt for the card. If you can, you may start the application process online.
Check the information in detail
Once approved, you should read the information guide that comes with the card for any details you may have missed.
Information such as when payments will be made, late fees, billing, and important details about the use of the card will come along with it.
Set yourself a budget
Once you have obtained the card, you should use it responsibly. It is important to remember how its use may affect your credit future. Making a budget plan is the best way to start on the right foot.
Crail, Chauncey. “Best First Credit Cards To Build Credit In November 2022 – Forbes Advisor.” Forbes Advisor, https://www.forbes.com/advisor/credit-cards/best/first-credit-card/.
“How to Get Your First Credit Card | Capital One.” Capital One, https://www.capitalone.com/learn-grow/money-management/first-credit-card/.