Compare Instant Approval Credit Cards

When you have bad credit, it can be difficult to get approved for a credit card. While the term ‘instant approval’ may sound enticing as a bad credit applicant, it does not mean you are guaranteed approval. Even with an instant approval credit card, you will still need to meet the criteria set out by the provider in order to get approved.

When comparing credit cards, look at the eligibility requirements as set out by the card provider. You may find some providers look more leniently on bad credit applications. What’s most important though, is to only apply if you meet that eligibility criteria. If your application is declined, that decision will be recorded on your credit file, which will not improve your standing.

While there is no way to guarantee your approval, you can improve your chances of being approved when you apply for an instant approval credit card.

• Apply for a copy of your credit file: You can apply for a free copy of your credit file from one of the credit reporting agencies. Detailing all your recent dealings with credit, this file is the one credit providers access when assessing your application. Check your credit file for errors – they’re more common than you may think. You can apply to have errors corrected by the agencies.
• Pay your debts: When you apply for a credit card, the card provider will ask about any debts you have. A mortgage is a ‘good debt’, but credit cards and loans may be considered a ‘bad debt’. Too many unpaid debts can make you seem risky to potential providers, so you may want to consider clearing some of your debts and reducing your credit limits before applying for another card.
• Ensure you have a regular income source: If you take out a credit card, it’s expected you will spend on it. What a potential card provider wants to know is that you will be able to repay what you borrow. Having a full time job and steady paycheque may make it more likely your application will be approved.
• Increase your savings: By showing potential card providers that you are responsible enough to save, you indicate to them that you not only know how to budget, but also that you have backup funds should you need them.
• Check your eligibility: While it’s certainly not as exciting as comparing fancy features and rewards programs, it’s still important you check eligibility requirements before you apply. If you don’t meet those requirements, it will usually result in a declined application. To be eligible for a credit card, you may need to be a citizen or resident of Australia, you may need to be over 18, and you may need to have good credit and exceed a minimum annual income.

When you receive an approval from an instant approval credit card, this is a preliminary approval based on the information you have provided. The card provider will then assess this information, and if the provider decides you do not meet the lending criteria, you may be asked to provide further details. Alternatively, your application will be declined.

If your application is declined – either at the point of ‘instant approval’ or afterwards – it’s generally not a good idea to apply for another credit card straight away. All credit applications are recorded on your credit file, so multiple applications may lead to another rejection.

Instead, you might want to review the eligibility requirements on the credit cards you are interested in, and then review your credit file to ensure you meet those requirements. You may want to spend time improving your credit file and employment status, and give it time before you apply again.

What information do I need to apply for an instant approval credit card?

The information you will need to provide will depend on the card provider, as all credit card applications differ. However, most card providers will require you to provide the following:

• Proof of identity: You will be asked to provide proof of your identity. This may be on a points system. You could provide your driver’s licence, your birth certificate or your Medicare card.
• Personal details: You will need to provide your full name, your residential address and any contact details.
• Employment and income: You will need to provide proof of your employment and income, which may involve providing the details of your employer and recent pay slips. If you're self-employed, you may need to provide your accountant's details and your last tax assessments. If you're retired, you'll usually need to provide evidence of your Centrelink payments or assets.
• Debts and assets: You may need to provide details of any debts in your name, as well as any assets.
• Balance transfer details: If you're applying for a balance transfer, you will need to provide the details of your existing credit card account and the amount you want to transfer during the application.