Credit card providers will credit score you on application for a card. This means that they will award 'points' to your application, depending on what answers you have given on the application form.
This way, the credit card company can work out how big a risk you are in terms of your likely ability to repay the money you borrow on the card. If you fail to get a sufficient number of points, the credit card provider may decide not to accept your application or could accept the request but charge you a higher rate of interest.
Such credit scoring systems will take into account a range of factors and they are used in a number of fields, including mortgage, current account and personal loan applications.
However, owning more than one credit card – or even applying for more than one – can harm your chances of being approved by the credit card provider, due to the fear that you will be borrowing more than you can repay across the different cards.
You are especially likely to be refused a credit card if your applications are made within quick succession of each other.
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Know Your Money Credit Card Wizard.
