Selecting The Right Credit Card For Your Credit Profile

Selecting The Right Credit Card For Your Credit Profile

February 27, 2013         Written By Bill Hardekopf

Finding the right credit card for your credit profile is perhaps one of the most important things to do during your search for a new card. If you have poor credit, it does not make sense to apply for a credit card designed for excellent credit; you will end up being denied and this could further damage your credit score. Likewise, if you have a good credit score, there is no reason to apply for a credit card designed for those with poor credit as your interest rate may be higher and you may lose out on some features associated with cards designed for good credit.

Finding A Card For Your Credit Profile

On LowCards.com, you will find a left navigation menu to navigate to cards based on different criteria and categories. One of those options is to view cards for varying levels of credit. We designate five different levels of credit scores:

  1. Excellent Credit: This is for people with a credit score of 750 and higher.
  2. Good Credit: This is for people with a credit score between 700 – 749.
  3. Fair Credit: This is for people with a credit score between 640 – 699.
  4. Poor Credit: This is for people with a credit score below 640.
  5. No Credit: This is for people with no credit history or an extremely limited history.

In addition to being able to sort cards by type of credit, consumers can also go to different card categories and the credit profile for each applicable card.  For example, you can view low interest credit cards and find a card with a low APR that is designed for your credit background by looking for the following graphics:

We use these graphics to designate the cards that are designed for certain credit ranges. This rating system will help you find a card designed for your credit profile and maximize your chances of being approved for that specific offer.

Why Do I Need A Card For My Credit Profile?

Picking a card that isn’t designed for your credit profile is similar to knowing you wear a size 5 shoe but buying a size 9. Credit cards are designed and structured for specific credit score ranges.

If you have a lower score, you are considered more risky to card issuers so they may offer lower credit limits and higher interest rates. The issuer will report your activity to the credit bureaus and if you have used your card properly, it could improve your score. If you establish a good reputation with a specific card issuer, they will want to retain you as a customer and could eventually offer you lower rates and higher credit limits.

Conversely, if you have a higher credit score, you are considered less risky to card issuers so you may receive additional rewards and benefits to make those cards more attractive than competitors’ cards.

How Can I Move My Credit From One Category To Another

There are a number of articles on LowCards giving tips on how to improve your credit:

To increase your score, you need to adhere to the terms of all your financial obligations (credit cards, car loans, mortgages, student loans and other debts) to show the credit agencies you are a responsible consumer.

If you are not pleased with your current credit score, you can work to improve it. With on-time payments and a well-executed plan to lower your debt, you may start to see an improvement in your score. This can have a very positive impact on you in many areas of your life.



The information contained within this article was accurate as of February 27, 2013. For up-to-date
information on any of the terms, cards or offers mentioned above, visit the issuer's website.


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About Bill Hardekopf

Bill Hardekopf is the CEO of LowCards.com and covers the credit card industry from all perspectives. Bill has been involved with personal finance for over 15 years. He is a frequent contributor to Forbes, The Street and The Christian Science Monitor.
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