Since the 2016 demonetization and a constant push towards digitalization, credit cards have become the preferred mode of transaction for many. Individuals make use of these cards for transactions made while booking tickets, shopping, paying fuel charges, etc. But, when it comes to how to get a credit card, one will need to meet all the stipulated eligibility requirements.
Among these set criteria, most card issuers look for a CIBIL score ranging between 750 and 900 to approve the application of said card.
What is the CIBIL score?
CIBIL score refers to a three-digit value that denotes an individual’s credit history. The same is evaluated on the basis of your payment of credit card dues, loan EMIs, and overall credit behavior. The value of the CIBIL score ranges between 300 and 900, and the greater your score, the more is the chance of a quick credit card approval. Otherwise, your application stands the chance of getting rejected.
Nevertheless, there are still some approaches when it comes to answering the question of how to get a credit card with a low CIBIL score.
How to get a credit card with low scores?
- Utilize an add-on card
A primary credit account holder of a family can only avail of an add-on card. These offer similar benefits to that of standard credit cards, but the only difference is that they come with a reduced limit. The reason for this is that the primary credit card limit is now shared with the add-on card.
For instance, you have a credit limit of Rs.1 lakh, and you apply for an add-on card. The limit will be divided between the two payment tools. Add-on cards are feasible tools to increase your low credit score.
- Apply for a joint credit card
Individuals with a low credit score can apply for a credit card jointly with his/her spouse. In such a scenario, if the other person has a higher CIBIL score, the chances of approval for the credit card application increase significantly.
But whether you have a joint credit card account or a single one, you must make sure to pay off the dues within the specified date.
- Avail a secured credit card
Individuals who are looking to apply for the best credit card in India with a poor CIBIL score can opt for a secured one. Here you are required to start a fixed deposit account with your desired financial institution and make a deposit. The institution will then issue a credit card that comes with a credit limit based on the deposited amount.
- Get a credit against savings account
Only a handful of financial institutions offer credit cards against savings account. Similar to the procedure of availing credit cards against fixed deposits, here too you need to start a savings account and deposit a certain amount.
- Opt for a card with your primary bank
If you are a long-standing member of a financial institution and have been punctual with your previous payments, your lender might approve your credit card application even if you have a low CIBIL score.
For instance, if you have been a member of Bajaj Finserv, you can opt for the Bajaj Finserv RBL Bank SuperCard, even if your CIBIL score is less than desired.
As the name suggests, this card is equipped with various exclusive benefits that other credit cards do not offer, like interest-free cash withdrawal up to 50 days, 20,000 welcome reward points, an emergency loan facility, etc.
The NBFC also presents pre-approved offers to make the credit card application process hassle-free and less time-consuming. These offers are available on various financial products like business loans, personal loans, credit cards, etc.. You can check your pre-approved offer by entering details like your name and contact number.
A low CIBIL score is a primary reason why your credit card application may have been declined. But the above-mentioned ways can easily answer the pressing question of how to get a credit card with low CIBIL scores.