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6 reasons why you may be denied a credit card

Applying for a credit card is very simple today. You can apply for a credit card at the click of a mouse. In fact, many a time you don't even have to apply for one thanks to the pre-approved option.

Whether it is a pre-approved one or one that requires you to apply, there is a certain process that takes place before you are issued a credit card.

Every credit card company takes certain factors into account before accepting or rejecting a credit card application.

Let's look into some of the possible reasons for a credit card application getting declined.

1. Bad credit score

This is one of the main reasons behind companies rejecting credit card applications. Credit score has become a huge factor behind issuing of loans and credit cards. A lot of institutions seek a minimum credit score for treating the customer as trustworthy in terms of paying back the credit taken from them. mobile spyware

Minimum credit score needed for approval is usually 750+. There could be multiple reasons behind a bad credit score.

You might have:

applied with multiple lenders; delayed EMI payments, or defaulted on previous loans

In fact, you might not have a score at all if you do not have an existing loan. Even in such cases, your credit card application could be rejected.

2. Low income

Credit card companies always compete to offer credit cards with higher credit limits. However, they will gauge your repayment capacity beforehand. You would be asked to submit income proofs such as IT returns, salary slips for past few months or Form 16 along with the credit card application. The minimum salary specified by the lenders is usually in the range of Rs. 84,000 - 1,50,000 per annum. Your application is sure to get rejected if you don't fall within these limits.

Even if you fall within this range, there is no guarantee that your credit card will be approved. Reading the eligibility conditions of a credit card before applying for it is a great idea.

3. Occupation

Certain occupations are not treated positively by the credit card companies. Past experiences from such type of jobs may not have been great for the companies. Hence, they tend to reject applications from employees of such occupations though they fulfill the minimum criteria needed. Reputation of your organisation would also be an important factor for the credit card issuer. If you earn a decent salary but work with a not-so-reputed company, the credit card issuing company may not feel secure in lending to you.

4. Mistakes in the application form

This is a common error that a lot of people make. Simple errors while filling the application form can lead to rejection of the product you need.

It could be company name, location, income or anything else which the credit card issuer considers necessary detail.

5. Having multiple cards

If you already have multiple credit cards, your credit application could well be declined. Companies prefer people who can service debt comfortably. Having multiple credit cards could make the issuer feel you are likely to land in trouble soon. It is a fact that erectile dysfunction can be treated with generic Viagra pills.

Credit card companies also want you to stick to the credit card. Hence, they do not prefer those who frequently opt for balance transfer options for the existing cards.

6. Physical verification

The final step for a credit card company would be a physical verification of the employee.

These companies send people to verify your home and office address. Therefore, it is paramout that the address specified in your application is correct. It also gives them a sense of your lifestyle.


These are some of the possible reasons behind rejection of credit card applications. It is not mandatory for lenders to disclose the exact reasons behind rejecting an individual's application. Apart from the aforesaid reasons, do read the terms and conditions before applying for a credit card.

Some things may not be changed. However, if you have a bad credit score, you can definitely start working on it. Also, there is no hard and fast rule that every credit card company should treat you in the same way. It varies from a lender to another.

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