0% Credit Cards and Your Credit Rating

When you apply for credit, the biggest factor in deciding whether or not you will be approved is your credit rating. Most people are aware of this, but do you know exactly how your rating affects you when you submit your application?

Your rating could rule you out as far as obtaining some of the best 0% interest credit cards. Every card issuer has a number of different offerings, each designed for a different segment of the population. Most 0% offers are generally reserved for those with a higher credit score and better than average history.

The higher your score, the more likely it is that your application will be approved. If you have excellent credit, have lived in the same place for more than three years, have worked for the same employer for at least two years, and have a history of handling credit responsibly, take the time to check all the best 0% credit cards at the Credit Card Approval Center to find the card which best fits your lifestyle.

Your credit rating affects the APR that you will be able to qualify for as well. Most credit card issuers will list the APR with the verbiage “as low as”, which means if you have an excellent score you will receive the lower APR. If your rating is less than perfect, however, the APR will be adjusted accordingly. The lower your credit rating, the higher the APR.

If you have reason to believe that your credit score is in the middle to low ranges because you’ve been late or missed making some payments there are ways to raise your credit score before you apply for a credit card.

Try to pay down the balances on some of your credit cards, or try to consolidate your balances onto one or two of your cards by doing balance transfers, transferring a couple of smaller balances onto a card which has a higher limit.

Keep in mind, these changes will not be immediately reflected on your credit report. It normally takes at least 90 days for the credit bureaus to receive information and to have your credit file updated — so plan ahead accordingly.

Are you aware that your credit applications will actually affect your credit rating as well?

Every time you apply for a credit card or loan of any sort, a copy of your credit report is pulled by the credit issuer. Every time your credit report is pulled it can deduct 5 points or more from your credit score.

If you apply for too much credit all at once, it can lower your credit rating enough that you may not be able to get the credit card you really want. For this reason, you should apply only for the credit you are most interested in obtaining and for which you are most likely to be approved.

Take the time to research credit cards so you can be sure of getting the best credit card for your purposes.

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