Why it may be easier to be approved for a credit card if you already have an account with the issuer (2024)

When you apply for a credit card, issuers consider a number of factors, such as your credit score, credit history, income and monthly rent or mortgage payment.

Though these all influence your approval odds, there's another factor you might not be aware of.

If you already have a good relationship with your bank or credit union — meaning you have a checking or savings account and no history of overdrawing on your account— you may find that it's easier to qualify for a credit card with them.

Below, CNBC Select explains why you might want to apply for a card issued by your bank and what you should consider before applying.

How applying for credit with your bank may help you get approved

Visiting the bank where you already have an account with may help your chances of getting approved for a credit card because they already know you and may feel more confident extending you a line of credit, especially if this is your first credit card.

It's always smart to shop around for the best credit card based on your credit score and your financial capacity, butBruce McClary, a spokesman for the National Foundation for Credit Counseling (NFCC), tells CNBC Select that there are some circ*mstances where you may have extra incentives to start with the financial institution where you already have an account.

"This may be especially true if you have a less than stellar credit history but have an account in good standing," McClary says. "That credit issuer may be more likely to consider your recent account history with their credit card as an overriding factor against other past credit setbacks related to other accounts. The more recent your financial troubles, the less of a guarantee that your creditor may be as flexible as you might like."

Depending on how good your banking relationship is, it may even help you score a better interest rate, lower fees, a longer promotional financing period or a sign-up bonus if you are approved for the credit card. Make sure to ask about any benefits for new applicants. Some issuers waive annual fees or offer statement credits for new cardholders.

If you get approved, having a credit card at the institution where you already bank could also make it easier to pay your monthly bill on timesince you can simply transfer funds between accounts versus between issuers, and it removes the hassle of having to set up a different profile on another issuer's website.

What to look out for when applying for a credit card through your bank

Once you ask a representative at your bank about opening a credit card, you'll want to first review any card offers before officially applying. You should compare any card offer with what is advertised online or any offer you may have received in the mail.Remember, applying for new credit requires a hard inquiry on your credit report, which can temporarily ding your credit score a few points.

If you anticipate having a difficult time getting approved for a credit card and want to see what your bank can offer, it may help to know what CNBC Select ranked as the best credit cards for bad credit, fair and average credit and for building credit.

Below are just a handful.

  • Best for low deposit: Capital One Platinum Secured Credit Card
  • Best for low interest: DCU Visa® Platinum Secured Credit Card(Membership to the Digital Federal Credit Union is required.)
  • Best for no credit check: OpenSky® Secured Visa® Credit Card
  • Best for no fees: Petal® 2 "Cash Back, No Fees" Visa® Credit Card
  • Best for cash back: Capital One QuicksilverOne Cash Rewards Credit Card
  • Best for travel and for average credit: Capital One Platinum Credit Card

Don't miss:

  • Here's who's eligible for a credit card and what factors card issuers consider when you apply
  • These are the 5 best credit unions for all your banking needs in 2020

Why trust CNBC Select?

At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every credit card article is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of credit cards. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics.

Catch up on CNBC Select's in-depth coverage ofcredit cards,bankingandmoney, and follow us onTikTok,Facebook,InstagramandTwitterto stay up to date.

Information about the DCU Visa® Platinum Secured Credit Card has been collected independently by Select and has not been reviewed or provided by the issuer of the card prior to publication.

Petal 2 Visa Credit Card issued by WebBank.

Click here to view the Cardholder Agreement for the OpenSky® Secured Visa® Credit Card.

Editorial Note: Opinions, analyses, reviews or recommendations expressed in this article are those of the Select editorial staff’s alone, and have not been reviewed, approved or otherwise endorsed by any third party.

Why it may be easier to be approved for a credit card if you already have an account with the issuer (2024)

FAQs

Why it may be easier to be approved for a credit card if you already have an account with the issuer? ›

How applying for credit with your bank may help you get approved. Visiting the bank where you already have an account with may help your chances of getting approved for a credit card because they already know you and may feel more confident extending you a line of credit, especially if this is your first credit card.

Are you more likely to get approved for a credit card through your bank? ›

Apply at your bank or credit union. You'll be in a better position to win approval if you apply for a credit card at the bank or credit union where you already have a checking or savings account.

Does having a checking account with a bank make it easier to get a credit card? ›

If you have a checking account, you may be more likely to receive prequalified offers for credit cards. A prequalified offer is based on a simple review of your information, called a soft inquiry, and therefore doesn't affect your credit.

Does bank account balance affect credit card approval? ›

Your bank account information doesn't show up on your credit report, nor does it impact your credit score. Yet lenders use information about your checking, savings and assets to determine whether you have the capacity to take on more debt.

What determines if you get approved for a credit card? ›

They include: Your credit scores. Income. Monthly rent or mortgage payment.

How can I increase my chances of getting approved for a credit card? ›

Knowing your credit score and maintaining a low credit utilization ratio can greatly increase your chance of approval for a credit card. You'll find many cards designed for different credit score ranges. Narrow down choices to those that you're positioned to be approved for.

What increases your chances of getting a credit card? ›

A good credit score will increase your odds of being approved for a credit card as lenders like to see that you can manage an additional line of credit and make monthly payments on what you charge. You should always pay your credit card bills on time each month and try to pay them in full if you can.

Is it easier to get a credit card through your own bank? ›

How applying for credit with your bank may help you get approved. Visiting the bank where you already have an account with may help your chances of getting approved for a credit card because they already know you and may feel more confident extending you a line of credit, especially if this is your first credit card.

Which bank approves a credit card easily? ›

Comparing the easiest cards to get
Card NameAnnual feeFICO score required
Bank of America® Unlimited Cash Rewards Secured credit card$0No credit history
Capital One Platinum Secured Credit Card$0No credit history
Indigo® Mastercard®$0-$99 depending on creditworthiness300 to 670
Capital One Platinum Credit Card$0580 to 740
3 more rows
Jun 28, 2024

Why won't Chase approve me for a credit card? ›

Applying for too many credit cards over a few weeks or months and the consequent dings to your credit score from multiple hard inquiries on your credit report. Currently being unemployed or having insufficient income history from a new job that has only started in the last few weeks.

What is the hardest Chase card to get? ›

Why it's one of the hardest credit cards to get: Chase Sapphire Reserve® is one of the hardest credit cards to get approved for by virtue of the fact that it is one of the best rewards cards on the market. From its initial bonus of 60,000 points to the ...

What credit score do you need to get a credit card? ›

Most credit cards require a minimum score of 670 for approval. Excellent scores of 720+ give you the best approval odds and terms. Check the specific card requirements; some may approve scores as low as the 500s with restrictions.

What is 90 chance of approval for a credit card? ›

90% – 99% chance of approval

This means that you're very likely to be approved for a loan or credit card based on what you've told us. Usually, the lender will need to do a few final checks on their side to fully approve your application. Very likely to be approved for this offer if you apply.

Which card is easiest to get approved for? ›

Before applying, verify details on issuer's website.
  • OpenSky® Plus Secured Visa® Credit Card.
  • Chime Secured Credit Builder Visa® Credit Card.
  • Petal® 2 Visa® Credit Card.
  • Mission Lane Visa® Credit Card.
  • Discover it® Student Chrome.
  • Self Secured Visa® Credit Card.
  • Grow Credit Mastercard.
  • Secured credit cards.

How to guarantee credit card approval? ›

How to Get Approved for a Credit Card
  1. Check Your Credit Score. ...
  2. Make On-Time Payments. ...
  3. Keep Your Balances Low. ...
  4. Avoid Applying for Too Many Cards at Once. ...
  5. Consider Experian Boost. ...
  6. Apply for Cards in Your Score Range. ...
  7. Consider a Secured Credit Card. ...
  8. Know What You'll Use Your Card For.
Apr 23, 2024

Why won't Capital One approve me? ›

Some common reasons for not getting approved for a credit card include: Having a low credit score. Having too much debt. Having too many hard inquiries on your credit reports.

Is it better to get a credit card through your bank? ›

Bank cards tend to be a better option for everyday expenses but could also have a few drawbacks. Pros: Typically, lower interest rates and higher credit limits. Robust fraud protection.

Which bank is most likely to give me a credit card? ›

The banks with the easiest credit cards to get are U.S. Bank, Capital One, Bank of America, Citibank and other major banks that offer secured cards. You'll have a good chance of getting a credit card from one of these banks no even if you have bad or limited credit.

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