Good News: Obtaining a Credit Card May Be Easier in 2012
January 9th, 2012Credit cards are useful – some might even say essential – tools for the modern age. But for some people, they’re not always easy to obtain. Fortunately, thanks to responsible consumers, that may get 
easier as we swing fully into the new year.
Why? Because credit card default rates dropped so low over the last year, they’re actually lower than they were before the current recession kicked in. In other words, we’re all paying our debts, so the banks are willing to take more risks.
This isn’t a small thing, either. Nearly 8 million Americans couldn’t get access to a credit card last year because their credit score was deemed too risky by the banks. They had to go other routes to get a credit card, such as a secured credit card. But we’ve done such a good job of paying off our debts that the banks are willing to take more risk.
Why does a rising tide raise all boats, in this particular case? Fundamentally, it’s all about risk.
Credit cards are essentially loans the bank is making to you under specific terms. As we all know, the better you are at paying off your credit cards, the better the terms of the loan. However, banks have to look at their overall credit card portfolio as well; i.e. not just the pe
Tags: Credit Card, May