There are several factors credit card issuers look at when deciding whether to approve you as a new applicant. Your credit score, for example, plays a huge role in determining your eligibility for a new card. To a card issuer, too low a score says you may not be the most trustworthy borrower.
But what if you’re out of a job? Does that mean you can’t qualify for a credit card?
You’d think that would be the case. When you use a credit card, you charge expenses and pay them off at the end of your billing cycle or over time. And if you don’t have a paycheck coming in, how are you supposed to make those payments?
The good news is that being out of work doesn’t automatically disqualify you from getting a credit card. Here’s what to know.
It’s all about income
While credit card issuers do look at income when determining whether to approve applicants, that income doesn’t have to come from a job per se. If you’re not working but you have a decent amount of money from investments in a brokerage account, own a rental property, or have income from another source, you may qualify for a credit card.