If your credit card application was denied, consider applying for a credit card that comes with a fixed deposit first.
Have you tried to apply for a credit card but been turned down by several banks? Applying for a credit card while making a set deposit will significantly improve your chances of being approved.
In order to apply for credit cards using fixed deposits, customers can do so through a variety of domestic banks. To do this, customers must first deposit a certain amount in fixed deposits before they can apply for credit cards that correspond to the number of fixed deposits.
For instance, if you deposit RM2,000 into a fixed deposit, your monthly credit card spending cap will also be RM2,000. The credit card will likewise expire if the customer withdraws the fixed deposit.
Many may comment that this type of credit card is using your own money, which cannot play the role of spending future money and cash back on credit cards after seeing this.
In most cases, the lack of a bank credit history is the primary factor in a credit card application being denied. Your credit history might be built when you apply for a credit card with a fixed deposit. When it comes to applying for a second credit card, you’ll be in an excellent position after you have a solid history of credit card repayment.
It is suggested that you apply for a credit card in the form of a fixed deposit first, and then use that card to make loan repayments for at least six months. Then submit an application for a second credit card the “usual” way. You have the option to revoke the first “abnormal” credit card if your second “regular” credit card application is approved.
Of course, this way of building your credit history with term deposits may not be effective if your credit card application was denied because your debt-to-income ratio was ineligible or if you applied for a credit card that didn’t match your income.
