When you apply for a credit card, there are 3 things that can happen to your application. Your credit card application can be immediately approved, it can be placed in a pending status or your application can be immediately denied. Let’s take a look at each and what they mean for your credit card application:
Congratulations! You’re application has been instantly approved. Sit back and relax and start using your card once you receive it. Don’t forget about hitting those minimum spending requirements for the bonus points!
This is when your credit card application does not get instantly approved nor instantly denied. The issuer requires further review, usually to verify your address, income, etc. This is very typical, so do not be shocked if you see this. Just wait it out. You should hear a response within a week or so.
Unfortunately, you’ve received an instant denial. This is very common, do not panic. There are a number of reasons why your credit card application could be denied. You will always receive notification as to why the issuer denied you. Your credit score will not be negatively impacted for an extended period of time. The important thing is to learn why you were denied (if it is an issue with your credit score) and work on improving your credit score. There are some great resources on creditkarma.com to help you improve your credit score. You can also call the issuers reconsideration line if you are denied for a credit application. Typically, decisions are made based on computer algorithms, so talking to a representative can change their decision, in some cases.