In 2019, the credit card user base in India touched 47 million, with the payment instrument’s demand predicted to rise at 25% in the upcoming five years. Such data typically indicates that individuals now prefer the trend of buying first and processing payment later, which has led to the growing popularity of credit cards.
Nevertheless, availing of credit cards requires applicants to meet specific requirements like a substantial CIBIL score, no history of default, etc. In case you are a first-time applicant and lack a card history altogether, it may thus seem challenging to receive quick approval for the card. To simplify card availing procedure for individuals with no credit history and score, financial institutions have come up with several approaches to assess the repayment capability of an individual that improve one’s chances how to get a credit card for the first time.
Here are the different ways specified for better understanding:
- Apply for a credit card as per your net income
If you are an employee of any public or private organization working for over six months, it can feasibly help you avail of a credit card even without a credit history. The Letter of Employment and salary statement can act as suitable documents that support your repayment capability for timely credit card bill payment.
- Apply for a secured credit card
Salaried individuals may find it a bit easier to get a credit card without a credit history. However, self-employed individuals need to look for different ways to get their first credit card due to a limited scope for providing income stability proof. Various financial institutions thus come up with the option of secured credit cards provided against collateral such as against a fixed deposit. As these cards are backed by security, financial institutions do not lay primary emphasis on assessing one’s credit history.
- Apply for an add-on credit card
Getting an add-on credit card is another way to improve your CIBIL score with well-thought-out transactions that help build the credit history. One can avail the same if any of his/her family members is a primary credit cardholder.
This type of credit card also holds features and benefits similar to that of a primary credit card. However, the credit limit of the primary card is now shared by the two cards.
Nevertheless, you can still utilize the add-on credit card benefits and avail of them during financial emergencies.
- Get a credit card against a savings account
Some leading financial institutions only offer credit cards against savings accounts, which another possible way to avail of the same in the absence of credit history. Similar to the process of availing of a credit card against a fixed deposit, here also you need to maintain a minimum deposit in your savings account to avail of such a card. With a credit card, you will get a host of benefits, attractive rewards, and exciting offers every month.
- Get a prepaid credit card
It is another way to obtain your first credit card without a credit history. Plus, it is a favorable option for individuals with a low credit score as well. Get financial freedom and buy anything that you want to buy. Reputed financial institutions of the country offer prepaid credit cards, and you are required to deposit an amount to start using them.
Besides these options, one must be familiar with the basic eligibility and document requirements. He/she should also know how to apply for a credit card online for hassle-free processing. Here’s a quick look at the standard requirements for such a card.
- One has to be an Indian resident.
- He/she must be between the age range of 25 and 65 years.
- Individuals need to provide specific documents like identity proof (Aadhaar card, PAN card, driving license, Voter ID card, or passport) and address proof (Aadhaar card, passport, driving license, or Voter ID card).
You can apply for credit cards like the Bajaj Finserv RBL Bank SuperCard that involves fast approval alongside minimal joining and annual fees. In Bajaj, Finserv you can get a credit card with minimum documents. They provide you easy EMI option where you can make your payment in easy instruments. The financial tool is also equipped with security features like ‘Zero-fraud liability cover’ and ‘in-hand security’ to improve user experience
Besides, you can check your pre-approved offer provided by the concerned card’s issuer to experience hassle-free financing. These offers are available on several financial products, including personal loans, business loans, and credit cards. Provide only some essential contact details to check the offer.
First-time credit card applicants can utilize any of the ways mentioned above to get easy access to credit. Moreover, they must also make sure to repay the bills in time and know other ways by which they can enhance your credit score for easy availability of such credit instruments.
