Qualify for credit card

Credit Card or Plastic money is in great vogue in today's world. Credit cards can be a great financial tool. They can be more convenient to use and carry than cash. Credit cards offer valuable consumer protections under federal law. We have mentioned some tips and tricks to protect your credit card in our other articles.

What is the age limit?

If you have crossed the age limit of 18 then you are eligible for a credit card.

If I am above 18, does it ensure me a credit card?

No, not always. Being above 18 is just not enough. You need to have a regular source of income and it needs to be proven for a credit card.

What are the other factors?

If you have reached your 18th milestone year and have a regular source of income, you're ready to qualify for a card. When your mail is full of credit card offers, it indicates you are now18. But despite the calls from hoards of card issuers, you'll still have to show that you're a good risk before they grant you credit. The proof is in your credit record. If you've financed a car loan or other purchase, you probably have a record at a credit reporting bureau. This credit report or history shows how responsible you've been in paying your bills and gives the credit card issuer an idea how much credit to extend.

If you haven't established a credit history then start it today by applying for a credit card issued by a local store and use the card in a responsible manner. Ask if they report to a credit bureau. If they do and if you pay your bills on time, you'll establish a good credit history. Secondly, consider a secured credit card. The requirement here is that you open and keep a bank account or other asset account at a financial institution as security for your line of credit.

Your credit line will be a percentage of your deposit, typically from 50% - 100 %. There might be application and processing fees for secured credit cards.
In addition to it, secured credit cards might carry higher interest rates than the normal and traditional non-secured cards.
Third, consider getting someone with an established credit history. This is to co-sign the account if you don't qualify for credit on your own. The co-signer takes the responsibility to pay your debts if you don't.