You must meet certain eligibility criteria in order for your credit card application to be approved. The specifications may vary depending on the bank or card. Your application can be turned down if you don’t meet the bank’s conditions. Your credit score can suffer if this occurs. In this article we will discuss about the eligibility criteria for applying for a credit card,
Criteria for Credit Card Eligibility
1. Age of the applicant
At least 18 years of age is required. However, 21 years old is the minimum age requirement in several banks. The maximum age requirement varies as well and is typically 60 years or more.
2. Annual income of the applicant
You’re qualified for a particular card based on your yearly salary. In India, a credit card application requires a minimum annual salary of about Rs. 3 lakh. However, it’s essential to confirm this requirement with your bank because it varies based on the card issuer you use.
3. Nationality of the applicant
Anyone may apply, including citizens and non-residents. There are some cards, though, that are only accessible to Indian citizens.
Documents Needed to Apply for a Credit Card
The supporting documents you must submit with your application will vary from bank to bank. However, the following is a list of some of the fundamental documents you must submit:
1. Accurately filled application form
2. Passport size photograph
3. Identity proof ( PAN card, Adhar Card)
4. Latest Salary Slips
5. Bank Statements
If you’re self employed you would need to submit these documents,
1. Accounts statement
2. Proof of Income
3. Proof of Business
Factors that will have an impact on your credit card eligibility
1. Credit Score
Once you have an excellent credit score, your possibility of gaining a credit card increase. Your applications will most likely be denied if you received a low score. A credit score of 750 to 900 is considered decent.
2. Current Debt
Your credit utilisation ratio will also be taken into account by your card issuer. Your application’s approval may be impacted if your debt is higher than the allotted maximum.
3. Employment Status
Your employment status also has an impact on your eligibility. Your chances of obtaining a credit card can significantly increase if you continue in your current position for longer than a year.
4. Location
When evaluating your application, banks also take your locality into account. Only people who live in certain cities can get certain cards.