Credit Cared Issuers Starting To Extend Credit Slowly
| February 10, 2010 |
After months of shunning customers that were applying for their products, it now looks like credit card issuers are now ready to extend credit once again. While at first that may sound like great news for the millions of Americans that have been declined over the past months, there is one stipulation and that seems to be you must have an extremely high credit ranking in order to get the plastic you want.
Because issuers are bound by new regulations, the "everyone is approved" approach that we had seen in years past just won’t cut it. With laws now stating what issuers can and can’t do when it comes to raising interest rates among other things, they are now being much more cautious on whom is issued a card. Research has shown that when it comes to many of the larger issuers in the U.S., well above eighty percent of consumers getting offered credit cards have credit score above 700.
While being more selective on issuing cards may keep some consumers from getting the credit card they really want, many other consumers will probably not be bothered with the lack of attention. For the first time in years, many Americans have started to cut back on borrowing and focus more on saving for the future. While getting a credit card may be on the "to-do" list, it is just something that they don’t feel is necessarily needed at the moment to reach any of their financial goals.
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