How to get a credit card

Getting a credit card can be a big milestone. And with responsible use, your card can be a useful tool to help you build credit. If you’re a first-timer, you might be wondering how to find the right credit card and what you need to apply.

The good news is the application process is relatively simple. But before you apply, you might want to take time to check your credit scores and research different credit card options. 

What you’ll learn:

• Applying online for a credit card is typically the fastest and most convenient way, but you also may be able to apply in person, by phone or by mail.

• Monitoring your credit reports and scores can give you an idea of where your credit stands and which cards you could be eligible for.

• Comparing interest rates and rewards can help you find a credit card that’s a good fit.

• Checking for pre-approved card offers can help you understand which cards may be right for you, without hurting your credit scores.

Credit card issuers typically evaluate creditworthiness to determine whether to approve or decline applications. So knowing where your credit stands can make it easier to determine what cards you might be approved for.

Generally, the higher your credit score, the better your chances are for approval. But there are still options, even if you’ve never had a credit card. Secured cards are one example. It’s easier to be approved because they require a refundable security deposit. That can make them a good fit if you have no credit history or are building credit.

You can get free credit reports from each of the three major credit bureaus: TransUnion®, Experian® and Equifax®. All you need to do is visit AnnualCreditReport.com.

Another way to monitor your credit is to use CreditWise from Capital One. With CreditWise, you can access your TransUnion credit report and score anytime. Plus, get alerts about noteworthy changes to your TransUnion and Experian credit reports.

Using CreditWise won’t hurt your credit scores. You don’t have to be a Capital One cardholder to use it, and it’s free.

If you’re starting to learn about credit cards, there are some important terms to look out for.

The Federal Trade Commission (FTC) says it’s worth shopping around to compare credit cards and to focus on finding “the best” annual percentage rate (APR) to keep costs down. With credit cards, APRs and interest rates are typically the same. You can usually avoid interest on new purchases by paying off your balance every month.

Some issuers charge annual fees to keep accounts open. If you’re looking to keep costs low, you might consider a credit card with no annual fee or determine whether the card’s benefits balance out the fee.

Learning about a card’s credit limits, promotional rates and other key credit card terms could be helpful before you apply. That way you’ll have a better understanding as you use a card.

When shopping for a new credit card, there are a few factors to consider besides potential terms and fees.

There are numerous types of credit cards. What’s best for you depends on what you’re looking to get out of the card, your spending habits and other preferences. The FTC says APRs are a good thing to compare. But you could also review rewards structures and other benefits.

Here are some common types of credit cards:

Application requirements differ from issuer to issuer and from card to card, but here’s an idea of what issuers may consider when you apply for a credit card:

The minimum age at which a person can get a credit card in the United States is 18. But there’s more required for applicants who are under 21. According to the Consumer Financial Protection Bureau (CFPB), “Credit card companies generally can’t issue credit cards to anyone under 21 years old, unless they can show an independent ability to meet payment obligations or someone over 21 years old co-signs the account, agreeing to be held financially responsible.”

When applying for a credit card, you’re going to be asked to supply information such as: 

• Full legal name

• Date of birth

• Address

• Annual income

• Social Security number or Individual Taxpayer Identification Number

• Employment status

When you’re pre-approved for a credit card, it typically means your credit scores and other financial information matched at least some of the initial eligibility criteria needed to become a cardholder. 

Pre-approval is a great way to compare options and gauge your approval odds, especially when checking doesn’t affect your credit scores.

If you apply for a credit card online, you could get a near-instant answer to your application. You might also be able to apply in person, over the phone or by mail. And if you’re approved, some lenders may give you a virtual card number to start using right away while you wait for your new card to arrive in the mail.

Federal guidelines require credit card issuers to let you know whether your application is approved or denied within 30 days of receiving it. But decisions may be quicker than that. If you apply for a Capital One credit card online or by phone, you could get a response within 90 seconds.

Once you’ve received your new credit card, the first thing you’ll need to do is activate it. You can do this by following the directions you get when the card arrives in the mail. The activation process involves scanning a QR code, signing in online or calling a phone number. 

After your card is activated, you’re free to use it. Using a credit card responsibly can help you meet your spending needs and build credit for the future.

Here are a few answers to frequently asked questions about applying for a credit card:

If you’re trying to get a credit card, you could start by understanding your credit scores and the application requirements. Once you’re ready, you can see whether you’re pre-approved before you apply.

If you’re new to credit or searching for your next credit card, Capital One can help. 

• See whether you’re pre-approved for credit cards without harming your credit scores. 

• If you’re looking to build your credit with responsible use, explore cards for people with fair credit. 

• Earn cash back on every purchase, every day, with a cash back rewards card. 

• Monitor your credit report and score with CreditWise. It’s free for everyone, and using it won’t hurt your credit scores.