We all know about that when you apply for credit card, they will check your monthly salary and then they will consider you are qualified or unqualified. If you are qualified as per your salary, credit cards will be issues to you. Premium credit cards as well as credit cards for low salary are circulated all around the world for better use. It makes it available to most of the people because indeed, it is one of the most useful things banks can ever offer. Credit cards offer us with various benefits, such as applying for EMI and to avail rewards for better transactions, credit cards are of great uses and that is the reason why everybody should have it.
Now, the term “availability to everyone” actually means what it refers and it basically wants to say that not only the people with a decent amount of salary can avail the credit cards. It is when credit cards for self-employed people come into existence.
In a world where self-employment and entrepreneurship are one of the most commonly used terms and everybody wants to be one, it was really very important to introduce the credit cards for self-employed and to circulate them in the market. The good news however is, what we want is reality and credit cards for self-employed people are actually crucial thing.
How self-employed people can apply for credit cards?
There are indeed many credit cards for self-employed people circulating around countries like India, USA and almost every other country. With the rising number of self-employment, arranging a starting capital and then managing all the expenses becomes really difficult. This is exactly the reason the credit cards for self-employed people was the need of an hour and many of the card companies and banks can help you during the initial phase of growth in self-employment. Of course, there are venture capitalists that are pumping in lot of money in the startups but the problem is, not everyone can meet their requirements.
Many card companies or banks offer best credit cards for self-employed people and each of the issuers have their own eligibility criteria, terms and conditions, benefits, features and others.
Eligibility for applying for credit cards:
- First of all, the minimum age limit for you to get the credit card is 18 and by no means can you get the credit cards if you are below 18.
- The most important thing a card company or a bank looks at while issuing a credit card is your regular flow income. The regular income criteria differs from bank to bank and country to country and it is basically seen for checking the repayment capacity of the person. Any bank would not like to suffer loss and it is the reason why banks have to be sure that the person they are issuing the credit card is someone who is capable of repaying the maximum limit of credit they are taking.
- No payment on credit default or debt.
- You must have a good credit history, which means that you must have paid people or banks earlier from whom you have taken credit.
- Some of the banks all around the world would require bank accounts in order to get your credit card and it should have been active for one complete year.
- Proof of address would always be required along with landline telephone bill, passport and many other things.
- Identification document proof such as PAN card, election card etc.
Documents required by you to apply for credit cards:
When you actually want to get a credit card, the first thing you have to do is fill the application form and submit all the documents which are required. Documents required are:
- PAN Card
- ID and address proof
- Business card
- Latest income tax returns
- Form 16A
- Colored photographs
- Age proof: Although not required by every company/bank, few might request it
Benefits and features of credit cards for self-employed:
Credit card being a competitive industry, every bank likes to give several offers, freebies specially to the new customers which will lead to more credit cards being issued. Cashback and many more are also offered by the card companies as well as banks.
- Reward points are given for every purchase made by the credit card at grocery stores and at other places.
- Mobile, landline, electricity and other payments will also help you get many rewards which you can avail afterwards.
- Many holiday vouchers and entertainment vouchers are also given when you make credit card transactions.
Features you should check before you buy a card
It is true that people often get very excited when it comes to getting your new credit card but you should always keep in mind that checking the features is an important thing. Credit cards for self-employed people are actually something they need and something which will help them to save money to an extent like nothing else. That is a reason why you should first check out all the features and get the perfect credit card for you available in the market. The features you should check are:
- Joining fee
- Annual fee
- Card cancellation fee
- Credit limit
- Billing cycle
- Bill payment methods
- Late fees
- 24*7 customer support
Credit cards for self-employed people are actually nothing but the normal credit cards but only the process of checking eligibility criteria is different. The credit card providers assess the chances of not being able to pay off the debt and only then will they decide whether or not to accept your credit card application. There are many lenders that offer credit cards to people who want it, especially the self-employed for helping them grow in the initial stage.