Most lenders have relaxed their requirements for one to qualify for a credit card and are now prequalifying potential applicants for some of their best options. A good example is American Express, for which you can prequalify. If you do, you will receive an offer to complete the application in the mail.
But the mail offer doesn’t necessarily mean that you will receive the card after the application. If anything, the information sought by credit card companies during the prequalification phase is basic and cannot affect your credit. It is only after you have made the application that the credit card company goes out of the way to dig more on your credit history. And they might just find something to use against you.
How to Prequalify for American Express Credit Card?
To prequalify for American Express credit card, you will have to go online to enter some information in their portal (Check for pre-qualified Credit Card offers). Part of the information required is your name, address, city, state, zip code, and the last four digits of your social security number. Once you agree to the terms and conditions, your application for prequalification will be sent to American Express. If you get prequalified, you will receive the notification through the mail.
If you choose to respond to the pre-qualify offer by filling in the application form, you may or may not receive the card. If you do, then you are unlikely to get a welcome bonus or favorable APR. Your credit score is what will determine the kinds of offers you get.
Going through the pre-qualification application process is to authorize American Express to contact the credit reference bureaus for your report. They will then determine if indeed there are any credit card offers you qualify for.
A few things to take note of:
- The pre-qualification application process is not the same as a credit card application.
- American Express is at liberty to review your personal information and the latest credit history.
- Just because you get pre-qualified doesn’t mean you will get a credit account approval.
In essence, the pre-qualification process is meant to establish the kind of credit card offers you are eligible for. If you eventually apply for a credit card and are granted an account, the information gathered during the pre-qualification process will determine whether you should get a welcome bonus and how high it should be. It is also important in the decision on how high your APR should be.
Why Pre-Qualify Before Applying?
You have every reason to wait until you are pre-approved for an American Express credit card before making the application. As you already know, the pre-qualify process for Amex is easy, fast, and painless.
After you receive the pre-qualification notification process, you can then choose the card to apply for. It could be any of the inexpensive EveryDay cards, Premier Gold Reward card or the Platinum card. From that point onwards, your fate is in the hands of American Express, given that they can either accept your application or decline.