Planning to apply for an instant approval credit card? If you are then, the following reminders will surely help you have realistic expectations with regards to the card program you wish to take out:
Don’t be misled by the term “instant approval”. Some people think that the terms guaranteed or instant approval is enough to ensure the immediate processing and approval of their requests for credit card accounts. Truth is some expect that applications for these card programs get approved within 24 to 48 hours upon the submission of their sign-up forms. However, in truth, these lines of credit require pre-approval – meaning, card issuers pull out the credit history of their prospective applicants before they can offer instant approval cards to them. And since this procedure helps them validate the credit reputation of their future applicants; they only need to take a few steps to finalize the processing and issuance of credit cards to their target clientele.
Some guaranteed approval credit cards ask for security deposit. This means that before you can receive the line of credit you need, you must first submit an initial deposit to your target card issuer. This cash-out serves two vital purposes. First, it helps guarantee the repayment of your credit card charges. Should you decide to default on your future bills; your card issuer can tap on the security deposit you have initially provided and use it to cover your unpaid balance. Second, it helps determine the spending limit or cap that will be imposed on your account. Hence, if you wish to enjoy a higher credit limit then, you should try submitting a huge deposit to your chosen instant approval store credit cards.