How Do Instant Credit Cards Work?
Have you found yourself playing the application game? Trying a number of different credit card offers only to receive that sometimes embarrassing and always frustrating notification that the program you wanted cannot at this time approve your offer? In some cases you might even have found yourself instantly declined rather than approved! It's not fun, that is for sure, and when you are only looking for a second chance after catastrophe to prove yourself you might feel inclined to give up.
Don't... The fact of the matter is there are a number of programs that do not base their approval process on a credit check, and in fact, if you meet the terms of the program guarantee your approval for the card. Instant approval credit cards have been designed for just this situation and help you not only get a credit card back in your wallet, but provide the means of reestablishing a history of on time payments and wise credit card management.
So what is the skinny with instant approval credit cards? We all know that the credit card companies are not in the habit of providing any favors to their customers without some self interest being met. In the case of no credit check instant approval offers these companies certainly have some trick up their sleeve in order to offset the higher risk of extending guaranteed credit right?
In one respect you are right. These programs are specifically designed to protect their investment in you. Instant approval credit cards can frequently be front loaded with fees, often require up front security deposits or funding, and in some cases come jam packed with high interest rates or annual fees. With all these tools the credit card companies have to secure their investment you can rest assured that they are protected in the arrangement. So what about you?
Despite various charges, rates, and fees that would make someone with a perfect credit score blink before applying, the fact of the matter is, not everyone finds themselves with endless options and a friendly greeting at the local banks. We find ourselves considering instant approval credit cards when we are unable to get approved for other less expensive card programs that require jumping through various financial hoops for approval. When trying to improve your credit score you need to start somewhere and these are the guaranteed cards that get you started on your path to building better credit.
In addition, applying to various credit cards only to be repeatedly declined is frustrating. Sometimes we just want a mastercard or visa in our pocket to feel human again after financial disaster. Sometimes I want the peace of mind of knowing that my efforts will not be turned away and taking the time to fill out the application won't be a waste of my energies. Instant approval credit cards provide the guaranteed acceptance that you want after you have tried and been turned away from the other programs.
On a side note, a guranteed approval credit card does not instantly mean that it is a bad offer. On the contrary, when we compared various instant approval cards we found, as we often do, that there are a good, bad, and the ugly when it comes to offer details. Interest rates vary dramatically, running the range of 19% all the way down to 0% APR, and security deposit requirements can vary as well. In our review, we kept a close eye on the fees being charged, up front costs and looked for companies that were up front about what they were charging and why. Our selections for the guaranteed credit card comparison reflect these features.