What Does Instant Approval Credit Really Mean?

Your credit score is not where you'd like it to be but you need access to credit fast? Take a look at what instant credit approval means.

Nowadays, virtually every credit card offers an approve or deny decision within minutes of applying online.  

So the term “instant approval credit card” is not a good way to distinguish one type of card against another. 

The only thing that matters is the condition of your credit history as there are options for those with bad, fair and excellent credit.

A Behind the Scenes Look at the Approval Process

What makes them “instant” is that you typically apply online, the carrier does a preliminary check on your credit score and then reaches a decision within a few minutes. 

Secured Vs. Unsecured

When applying for instant approval credit cards for bad credit (those with credit scores below the 580 range), card issuers could either provide a secured or unsecured credit card appropriate for those in this category.

Secured Credit Card

Obtaining this card gives you the ability to make a deposit, say $200, which would be used to pay off any purchases in case you got behind on payments. 

Unsecured Credit Card

With these no deposit would be necessary, however, because you'd be a risk to the carrier by having poor or no credit, you'd have higher interest rates and perhaps a fee as a condition to use the card.

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