The content is accurate at the time of publication and is subject to change.

There have been so much talk of credit scores and credit rating leaving many people confused and wary about credit card applications. The credit score can fall anywhere 600-900† and in most cases a score above 700† will allow people easy qualification for almost every kind of credit card in the market. However the point of contention remains that for those with a score below 700† fewer options are available. In the current economic scenario, credit has become invaluable and more difficult to get. There are numerous regulations and requirements in place with banks scrutinizing customers more carefully than ever. There are numerous people who have a bad credit score below 600† and can still get a card, but of course they will be required to opt for a secured one and improve their scores first before trying to get an unsecured one later on.

There are varying factors affecting each person's application for credit. There may be numerous credit enquiries on your report which indicates you have been shopping around, hence a consumer with a lower score may be approved for the same card you tried to get. The more risky scenario is applying for credit following a bankruptcy. Bankruptcy can lend a bad blow to your credit score and your chances for credit are indeed close to none. However there is a possibility of being able to get approval for an secured credit card and build your score as well.

It is important to know that there are very strict proceedings in place following a bankruptcy and people have to tread carefully. Following discharge of the bankruptcy, it will remain on a person's report for the next 10 years. Moreover the bankruptcy may have lowered the score to 400† or lesser depending on how the individual has been doing their payments. All these factors can prove detrimental to getting credit immediately and if there is a possibility for a card, it is quite normal to have a high interest rate to deal with. There is essentially an annual fee on nearly all unsecured credit cards in today's scenario and lenders will be unwilling to provide any concessions to a known defaulter. It is wiser to improve the score before risking taking a high cost credit card immediately and having too many applications and rejections on your report.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.