You can get credit cards without income proof. In the United States, banks can issue you a secured credit card if you do not have income proof. Fortunately, most banks can now also issue a credit card with no income. Due to the high demand, you need to be aware of the requirements for credit card without proof of income.
For prepaid cards, Chase Liquid is a better option, while for secured cards or student credit cards, secured credit card Discover is a better option for those without income proof. What to Look for In a Secured Credit Card? It should have low maintenance fees and it should be used only as a temporary solution.
How to Get Credit Card Without Income Proof
Some of the banks and financial institutions in the U.S that issue credit cars without proof of income include Discover, CAPITAL One, DCU and Open Sky. Those in the UK include Aqua, Sainsbury, Virgin, MBNA, Opus, Mark and Spencer.
It is easy to qualify for a secured credit card compared to an unsecured credit card. With a secured credit card, you can establish an impressive credit card history. To get a secured credit card, you will need to make a deposit of refundable deposit upfront which then becomes your credit limit. The deposit becomes a security for any credit advanced to you by the lender.
Secured credit cards have high Annual Percentage Rates (APRs) and annual fees. Consider applying for a Discover it Secured card that has $0 annual fees and comes with a reward program. Fortunately, it attracts cash back on purchases from retailers.
The other card you can consider taking is Capital One Secured MasterCard. With this card, you only need a refundable minimum security deposit of $49 or $99 or $200 based on your credit score. You also need access to an authorized bank account to make your security deposit. Once you have done that, you qualify for at least $200 credit which can increase when you make the first five payments on time.
Unsecured Credit Card vs Secured Credit Card
Secured credit cards are different from unsecured credit cards. Secured credit card are funded by your own deposits while unsecured credit cards do not require you to fund them. Unsecured cards have higher credit limit depending on your credit worthiness while secured card limits depend on the amount you deposited to secure the card.
Improve your credit score
Know your credit score before you can apply for a credit card and then strive to improve the score. To get good credit in the future, make sure that you have the best credit score. Credit scores are among the differences between the rich and the poor. The next thing is to pay off your debts or to consolidate them so that banks can see the best income/debt ratio.
Apply with a co-signer
Then try to apply for a credit card without income proof with a co-signer in case you have a family member who is employed. If the efforts to get a credit card fail, you can try using some else’s credit card, a co-signer and then you can try getting yours later. Students can get credit cards with Discover in case they earn less than $2000 annually. You need a co-signer who can give you a backup to get credit. Get someone who can trust you and one that is close to you as your guarantor. Please note that your activities can hurt the credit score of your co-signer.
Credit card issuers allow credit cardholders to use add-on cards against the primary card. If the card has a good credit score, it increases our chances of getting a credit card without proof of income.
Open a Joint Account
A few major banks only offer joint credit cards. Their demand has been on the decline, but you can still open one. For joint credit cards, two people agree to share one credit card, which they can use to charge on purchases and pay the balances together. As a student, you need to get a co-applicant with an income and excellent credit score to get approved. To open a joint account with a student requires a high level of trust. Generally, a student has many purchases but with less budget to repay the balance. For example, if you are a parent, you can open a joint student account with your child.
Show any income you may have
To get a no-income credit card, apart from banks checking if you have a job, it is still important that you show you have some form of income. Even in instances when you have no income like students, some companies will still issue your card. The income of your spouse can also qualify as proof to a bank to guarantee you issuance of a credit card. you can aggregate all your income from self-employment, interest on dividends, retirement incomes, public assistance and any external deposits into your account. Include any other acceptable source of income.
Steps to take:
- Have a plan. Come up with a plan to put your finances together and realize that getting a credit card is essential. Then work towards offsetting your outstanding debts. Then work on our credit scores and get a secured card, from here, strive to get a normal card, then a good card and finally the best card. The process may take a whole year, but it is worth it.
- Improve your qualifications. This process involves getting a card with a spouse in case you have one. It is important to include people close to you in your application.
- Take advantage of freelancing jobs. People are making a living out of micro-jobs, such as selling goods and services online. You can also come up with creative ways to make money — state all your sources of income like investments and other benefits.
- Consolidate your credit. Banks usually look at your dent income ratio meaning that you should have more money coming in than your debt. Therefore, make sure that you reduce your debts by either repaying them or consolidating them. Try living a simpler life.
- Create a bank account. A bank account is important so that banks can access their money in case you default. Your application will look better with a bank account.
- Use credit reports well. Make sure to get a credit report. Then check out for errors and inaccuracies. The work is tedious, but it is worth it, especially when you have no income proof. Then ensure that you improve on your credit score.
Best Credit Cards for Students With No Income
As a student, it can be tough to manage your finances while also trying to balance school, work, and other activities. However, having a credit card can be a great way to start building credit and managing your expenses. The challenge comes when you have little to no income to qualify for many credit cards on the market. Thankfully, there are some credit cards out there designed specifically for students with no income. Below, we’ll be looking at three top options: Journey from Capital One, Deserve, and Discover.
Discover credit card does not charge annual fees and usually has a variable APR of 19.49%. For the first six months, you enjoy 0% purchases and 10.99% on balance transfers. It is an ideal credit card for college students with no income. For college students, Discover has two cards, Discover it, and Student Chrome. Both have bonus categories, low fees, and you get forgiveness for your first late payment. You do not need FICO history to get any of these two cards. To qualify for one, you need to have a credit history of between 630 and 689.
Journey From Capital One
Journey from Capital One credit card comes without annual fees. To get a credit card, you need to have a minimum credit score of 630. Its variable APR rate is 26.74% while you also get a reward and a bonus when you pay on time. You must be a student to apply.
Deserve is a credit card for students that do not have annual fees. The regular variable APR rate is 20.24%. The recommended credit score should be between 630 and 850 to qualify to get one. It is a good option for international students who do not have a credit history and social security number in their country of study.
Credit Cards for Students Without Income Proof
Due to limited credit card history and lack of a job, students may find it challenging to get a credit card without proof of income. The easiest way of getting a credit card for a student without proof of income is by first acquiring a secured credit card. Then deposit $49 to the credit card, which the credit bureaus use as collateral in case the credit card holder defaults in repayment. The credit card usually comes with a limited credit of less than $200. It works just like any other card and defaulting in repayment will lead to a negative credit score.
In case you are looking for means to get a credit card while you do not have a job, there are several options mentioned above. Before getting a credit card, make sure you have a solid plan on how you wish to repay any credit. With time, you reach financial freedom and qualify for a credit card with a higher credit limit.
A credit card is an important tool in achieving financial freedom, which you can use to do anything even without adequate balance in your account. To get a credit card, you need to have regular income and a sound banking history so that the bank can lend you money. However, it does not mean that you cannot get a credit card if you do not have a job. Here are some ways you can qualify for a credit card without a job.
Facts About Credit Card
- Credit cards can improve or hurt your finances. They are neither good nor bad. Therefore, they must be used with care.
- Applying for a new credit card comprises 10% of your credit score regardless of whether you are approved, use it or not. Applying for a new credit card frequently can hurt your credit score.
- Credit cards are one of best financial tools for building your credit history if you use them responsibly such as paying off in full monthly.
- 30% of your credit score is based on your debt-to-credit ratio (your credit card balance divided by your available credit line). Using too much of your credit limit is bad for your credit score.
- Late credit card payment may be reported to TransUnion, Equifax, and Experian (consumer credit bureaus) if it’s more than 30 days late. It may stay on your credit reports for up to 7 years.
Credit cards are an important tool for managing finances and building credit, but what if you don’t have a steady income to prove to lenders? Thankfully, there are some alternatives to credit cards that don’t require income verification, such as prepaid debit cards, secured credit cards, and store credit cards. Each option has its pros and cons, so it’s important to research and determine which one best suits your financial situation and goals.