A Credit Card for People on Social Security Disability
A lot of people are using credit cards nowadays. Ones find credit cards necessary to build credit history. The others cannot imagine their lives without credit cards. Many things like renting a car, booking a hotel room and even every day purchases are thought next to impossible without a valid credit card.
But what to do when your income is limited to Social Security disability payments? Can you get a real credit card, not a prepaid card?
While some credit card companies and banks can be reluctant, the others may issue you a credit card. It may be very difficult to qualify for a credit card though.
You will need to show your income and expenses. All sources of income will count. And your rent or mortgage expenses along with other debt will be considered as well. These things do matter to creditors. They want to insure you will be able to repay timely.
Fortunately, there are some ways to get a credit card you need.
Start with the bank where you already have your checking or savings account. Ask for an application for its credit card. Often it is easier to qualify for a credit card if you have existing relationship with a bank.
If your rent/mortgage payment does not exceed one-third of your income, you may get approved for a general unsecured credit card.
Consider a secured credit card if you do not qualify for a general credit card. You will be required to deposit money into a bank account to secure your credit card. This deposit will be used as collateral against your credit line. The creditors usually refund the security deposit if you close your account and pay your balance in full.
When you get a credit card, you should use your credit card responsibly. Try not to charge on your card more than 30% of your available credit limit. If you pay off the balance on your credit card every month, you can avoid paying interest.
Latest Bad Credit Card News
On the threshold of the most romantic holiday, WalletHub published the results of the so-called Valentine’s Day Spending Survey. 1,000 men and women from across the U.S. participated in the poll. The questions concerned not only the expenses and expectations before February 14, but also how the financial situation may affect a relationship. The most […]
People are seriously worried about the security of their bank accounts due to the suspicious e-mails they received this Monday. The notifications’ sender was marked as Synchrony Bank. Some of the e-mails contained information about a newly opened Amazon Credit Builder account. Others informed the customers that some transactions are proceeding between Synchrony Bank and Credit Builder accounts, and that a trial deposit had been made.
As a new online Bankrate survey of almost 2,5 thousand respondents shows, 84% of Americans face financial product denials. The bigger part of millennials (22-36 years old), namely 58%, was rejected for a credit card or another credit product at least once. The reason is their bad credit score.
The third quarter is just around the corner. And Amalgamated Bank of Chicago is ready with an attractive forthcoming rewards category that will appeal to all travel lovers. It will be recalled that ABOC credit cards come with 1x ABOC Bonus Rewards Points on all purchases. But their no annual fee Platinum Rewards Mastercard® and […]
Bad credit history sounds like a sentence for many people. But is it so? Let’s consider the issue of bad credit in more detail. Our life is unpredictable, and we never know what can happen. We are not insured against anything. However, it is important to remember that there is always a way out or […]