How to Get Prequalified for a Credit Card

Card issuers rarely publish their eligibility requirements, so it’s hard to know whether you’ll qualify before you apply. Prequalification is one of the few ways to see where you stand before a hard inquiry hits your report. It typically uses a soft credit check to show which cards you have a good chance of getting.

While prequalification doesn’t guarantee approval, it can help you skip credit applications you’re unlikely to clear.

Prequalified vs. preapproved: What’s the difference?

Prequalified and preapproved can mean different things for different types of loans, but credit card issuers often use the two interchangeably. Where there’s a difference, it comes down to who initiated the process.

Prequalification usually starts with you on an issuer’s website, checking for cards you might qualify for. Some issuers call this a preapproval.

A prescreened offer works the other way around: The issuer comes to you by mail or email with a firm offer of credit because you appeared on a bureau’s list of people who meet the issuer’s criteria, such as a minimum credit score. These offers are usually called preapprovals, though you still have to apply. The issuer may run a hard check on your credit to make sure you meet its criteria before approving you.

How to check if you’re prequalified

There are three primary ways you can see if you’re prequalified for a credit card:

• Check issuer websites directly. Many card issuers have a prequalification or preapproval tool on their websites. You’ll fill out a short form, and the issuer will let you know which cards you’re likely to qualify for based on a soft credit check. You’ll need to go through this process with each issuer you’re interested in.
• Use third-party comparison tools. Some comparison sites allow you to check for prequalified offers with multiple card issuers using just a single online form. This option makes it easier to compare offers from multiple issuers at once, but it might limit you to issuers the website partners with.
• Check for mail or email offers. If you’ve received a prescreened offer, that means the card issuer has already run a preliminary soft inquiry and believes you might qualify. The letter or email may include a special link or code you can use to apply.

‍How to stop prescreened offers. You can take your name off the credit bureau lists these offers are based on. Go to OptOutPrescreen.com or call 888-567-8688 (888-5-OPT-OUT). Both are run by the major credit bureaus.

Opting out only stops prescreened offers based on credit bureau lists, so you might still see mail from card companies land in your mailbox.

What to do if you prequalify

Prequalifying tells you your odds of approval, but it doesn’t tell you the card’s terms. Before you apply, compare card offers on three factors:

• Annual percentage rate. Some offers list several APRs or a range, and you might not know the rate you’ll get until after approval.
• Credit limit. An offer may advertise a limit “up to” a specific amount, and you may not qualify for the highest.
• Annual fee. Some cards charge a fee each year, while others don’t charge one at all.

Apply for the card that fits best. Each application typically adds a hard inquiry on your report, and applying for too many cards in a short window can lower your scores.

Information you’ll need to apply

In general, expect to provide personal and financial information that includes:

• Your contact details, including your name, address, phone number, date of birth, and Social Security number or individual taxpayer identification number (ITIN).
• Your annual income, including your employment status and your total annual income from all sources.
• Your housing costs, including how much you pay each month for your mortgage or rent.

Does prequalification affect your credit score?

No, because you’re not submitting a formal application for credit. Instead, the lender or creditor relies on a soft inquiry on your credit. Soft inquiries appear on your reports for up to two years, but they don’t affect your credit scores, and lenders can’t see them.

The same is true for inquiries card issuers make before sending prescreened offers via mail or email. You’ll be able to see them on your credit reports, but they won’t affect your score.

Applying is different. When you submit a formal application, the issuer typically runs a hard inquiry. For most people, a single hard inquiry knocks fewer than five points off their FICO Score. Hard inquiries appear on your credit report for up to two years, but they only affect your FICO Scores for 12 months.

Read more >> Does Prequalification Affect Your Credit Score?

What to do if you’re not prequalified

Not prequalifying isn’t a denial. You haven’t applied, so there’s no hard inquiry on your report. It usually means something in your credit report or application fell outside the issuer’s criteria for that card. Common reasons include a thin credit history, a low credit score, several recent credit applications, or debt payments that are high compared with your income.

Issuers don’t publish their exact criteria, so use these steps to focus on what you can actually check and change.

Review your credit report for errors

You can get free weekly copies of your credit reports from Experian, Equifax, and TransUnion at AnnualCreditReport.com. Look for common errors, such as accounts that aren’t yours, wrong balances, late payments you didn’t make, and duplicate accounts.

If something’s wrong, you can file a dispute for free directly with the bureau reporting it. If you’d rather not draft and track disputes yourself, Kikoff’s AI Credit Disputes can help you find and dispute inaccurate items.

Look for cards matched to your credit

Issuers design cards for specific credit profiles. If you have fair or limited credit, a card built for good or excellent credit may not prequalify you even when other cards would. Try prequalifying for cards focused on your current credit standing, including student and secured cards.

Build your credit history before applying again

Prequalification tools read what’s already on your report. If you have thin credit or negative marks, adding positive payment history is what changes the answer.

A secured credit card, a credit-builder loan, or a revolving credit builder like the Kikoff Credit Account can each add on-time payments to your credit report.

Read more >> How Second-Chance Credit Cards Work

Bottom line

Prequalification shows your odds without a hard inquiry, but only a formal application gets you a decision.

If you don’t prequalify yet, fixing errors on your report is a good first step. It makes your report accurate, but it doesn’t add the on-time payment history issuers look for.

The Kikoff Credit Account adds that history. Each on-time payment is reported to Equifax, Experian, and TransUnion, and there’s no credit check to sign up. Plans start at $5/month.