The benefits of owning a credit card in the Philippines go beyond just convenience. By utilizing rewards programs, installment plans and travel insurance, while also building and maintaining good credit habits, owning a credit card can be an essential tool in enhancing one’s lifestyle and financial situation. Considering the various advantages, it is no wonder why many Filipinos strive to become credit cardholders.
How to Get Approved for a Credit Card in the Philippines
This article aims to provide a comprehensive guide on how to get approved for a credit card in the Philippines, including the minimum requirements, common fees, and tips for selecting the ideal credit card.
Credit cards have emerged as one of the preferred payment methods in the Philippines. With the convenience of cashless transactions, credit cardholders can easily purchase goods and services while spreading out payment over time. With a variety of credit cards available in the market, finding the right one can be overwhelming, especially for first-time applicants.
Benefits of Having a Credit Card
As the world continues to evolve towards a cashless society, the importance of owning a credit card in the Philippines cannot be overstated. While some may be hesitant to use one, the benefits of owning a credit card are numerous and include cashback, installment plans, and rewards. Additionally, credit cards can also help establish or improve one’s credit score, which can open doors to better credit products in the future. In this article, we’ll delve into the reasons why owning a credit card can be beneficial for your financial situation.
Many credit cards in the Philippines offer cashback rewards to cardholders for their spending. This means that a percentage of the amount spent is credited back to their account. This can come in handy when paying for everyday purchases such as groceries, fuel or dining out. Cashback incentives serve as a great way to save money and can ultimately accumulate to larger savings over time.
Another benefit of having a credit card is the availability of installment plans. By using a credit card, you may have the option of purchasing big-ticket items through an installment plan that allows you to pay over a few months rather than in one lump sum payment. This can be especially helpful for those who are looking to purchase items such as home appliances or electronic gadgets. Additionally, installment plans offer the ability to make an expensive purchase without tying up one’s cash flow.
In terms of travel insurance, many credit card issuers offer free travel insurance coverage to protect cardholders while on vacation. This can provide peace of mind when traveling as it covers unexpected medical expenses or other incidents that may disrupt your trip. Moreover, credit cards can offer discounts or other incentives at select merchants, which can ultimately save one money on everyday purchases.
Owning a credit card can also improve your credit score over time. By simply making timely payments and utilizing credit responsibly, you may be able to establish a strong credit profile. This can ultimately lead to better credit products in the future such as lower interest rates or higher credit limits.
Requirements for Applying for a Credit Card in the Philippines
To get approved for a credit card in the Philippines, applicants must meet certain requirements set by financial institutions. These requirements may vary depending on the type of credit card and issuer, but generally include factors such as income, credit score, and other financial information. In this article, we’ll explore the different requirements that may impact your credit card application and provide some tips to help you increase your chances of getting approved.
Personal Details and Identification Documents
If you’re interested in applying for a credit card in the Philippines, it’s essential to provide specific personal details and identification documents. These details include your complete name, date of birth, and place of birth. You also need to include your current address and contact information, including your email, landline phone number, and mobile phone number.
Annex a valid government-issued ID, passport, TIN ID number, and SSS ID. It’s essential to ensure that your name coincides with the name on your ID. Any discrepancy between the two can significantly impact your credit card application, leading to rejection.
On the positive side, submitting complete and accurate personal details and identification documents can increase your chances of getting approved for a credit card in the Philippines. By doing so, you are also displaying your sincerity and responsibility, giving confidence to financial institutions in granting you access to credit.
Minimum Monthly Income Requirement
Ensuring that you meet the minimum monthly income requirement is crucial when applying for a credit card in the Philippines. This requirement varies depending on the type of credit card and financial institution you apply for. Therefore, research is important to ensure that you meet the income threshold for the credit card you want.
For instance, some credit cards may require a minimum monthly income of PHP 30,000, while others may require a higher monthly income of PHP 50,000 or more. Keep in mind that several credit cards have lower income requirements for specific demographics such as students or low-income earners, which can be more accessible options for some.
Bear in mind that financial institutions may also consider other factors besides the minimum monthly income requirement. They may also evaluate your credit history, outstanding debts, and available cash flow to determine if you have the ability to manage your finances and repay your debts. Meeting these additional requirements in addition to the minimum monthly income requirement can help improve your chances of being approved for the credit card you desire.
Financial Statements/Proof of Income
One important requirement that cannot be overlooked is financial statements or proof of income. This information is crucial for financial institutions to determine your eligibility and creditworthiness.
To ensure that your application for a credit card is processed smoothly, it is important to provide accurate and up-to-date financial documents, such as income tax returns, pay slips, and bank statements. These documents serve as evidence of your ability to repay debts and manage your finances responsibly.
Different credit card providers may require varying types of financial statements. For instance, some may accept bank statements as proof of income, while others may require income tax returns or pay slips. It is important to review the requirements of your desired credit card provider to ensure that you provide the correct type of financial statement.
It is also important to note that the information provided in your financial statements is the basis for determining your credit limit and monthly interest rates. Therefore, it is crucial to provide accurate and up-to-date information that reflects your financial standing.
Identify a reliable source of income to ensure that payments can be made on time. Late payment fees and finance charges may be charged in the event of missed payments, which can negatively impact your credit score and financial standing. Therefore, it is important to ensure that you have a stable source of income before applying for a credit card.
Active Landline Phone Number or Mobile Phone Number
Providing an active and valid landline or mobile phone number is crucial. Most credit card providers require this information to verify the applicant’s identity and communicate with them regarding the status of their application. In fact, an active phone number is often a non-negotiable requirement to even begin the application process.
Without a valid phone number, credit card providers may have difficulty verifying key details such as your income or address, which could result in a delay or denial of your application. Additionally, a working phone number is also crucial for the credit card company to contact you in case of any issues that may arise, such as fraud alerts or payment reminders. It is therefore essential that you submit an active and reliable phone number to ensure that the application process runs smoothly.
Credit card providers may also require an email address for further communication and updates regarding your application. This allows the provider to send important updates or documents electronically, ensuring that you stay informed throughout the entire credit card application process.
Types of Credit Cards Available in the Philippines
Credit cards have become an integral part of daily living in the Philippines. Whether it is for managing day-to-day expenses, purchasing big-ticket items, or for online transactions, credit cards have made life more convenient. But with so many types of credit cards available in the market, choosing the ideal one can be a daunting task. From cashback credit cards and travel rewards credit cards to secured credit cards, this guide will take a closer look at the different types of credit cards available in the Philippines and help you select the right one that fits your lifestyle and financial goals.
Cash Rebates and Fee For Life Programs
Credit card providers in the Philippines offer a variety of rewards programs to attract new customers and retain existing ones. Two popular programs are the cashback credit card and the fee for life program.
A cashback credit card provides users with a cash rebate on their purchases, usually a percentage of the total amount spent. This means that the more a user spends, the more cash they can earn. Cashback can be redeemed for statement credits, checks, or bank deposits. This program is ideal for those who frequently use their credit card for everyday purchases like groceries, gas, and bills.
On the other hand, the fee for life program waives the annual fee for the credit card for as long as the user has it. This means that users can enjoy the perks of owning a credit card without worrying about paying an annual fee. This program is beneficial for those who want to keep their credit card for a long time and get rewarded for their loyal patronage.
Credit card providers in the Philippines offer both of these programs to entice new users and entrench existing ones. Some of these providers include Security Bank, PNB Visa Classic, and HSBC Red Mastercard. These providers offer a variety of credit cards, each with different rewards and benefits, to cater to the various needs of credit card applicants.
By choosing a cashback credit card or signing up for a fee for life program, users can enjoy the rewards of their everyday purchases without worrying about annual fees.
Supplementary Cards and Credit Limits
Credit card providers in the Philippines offer supplementary cards to their customers who want to give access to their credit to family members or trusted individuals. Supplementary cards work like regular credit cards but are tied to the primary cardholder’s account. This means that the primary cardholder is responsible for making payments on the supplementary card and monitoring its usage.
There are different types of supplementary cards available depending on the provider. Some providers offer free supplementary cards, while others charge an annual fee for each additional card. To obtain a supplementary card, the primary cardholder may need to provide additional information such as the name and contact details of the supplementary cardholder, their relationship, and their proof of identification.
Credit limits are the maximum amount that a cardholder is allowed to spend on their credit card. Credit card providers offer different credit limits to their customers based on their income, financial standing, and credit score. The income requirements for each credit limit category vary depending on the provider. For example, some providers offer credit limits as low as PHP 10,000 for individuals with a minimum monthly income of PHP 10,000, while others may require a minimum monthly income of PHP 20,000 or higher for a credit limit of PHP 50,000 or more.
Supplementary cards offer several benefits, such as providing an additional credit source for family members or employees and helping consolidate expenses. However, they also come with limitations, such as the risk of overspending and putting the primary cardholder at financial risk. To mitigate these risks, it’s essential to set spending limits and monitor usage regularly.
To choose the right credit limit, one should consider their monthly income, financial obligations, and spending habits carefully. It’s crucial to select a limit that one can comfortably manage and pay in full each month to avoid late payment fees and interest charges. Furthermore, keeping credit utilization below 30% of the credit limit is a good practice to maintain a healthy credit score.
Overall, supplementary cards and credit limits can provide significant benefits and flexibility for cardholders in the Philippines. By understanding the available options and considering their financial situation and spending habits, individuals can choose a credit limit and supplementary card arrangement that works best for their needs.
Travel Insurance and Other Features
One such feature that many credit cards offer here in the Philippines is travel insurance. This benefit is valuable for individuals who love to travel and want to protect themselves and their loved ones from unforeseen circumstances.
Travel insurance provides coverage for medical emergencies, trip cancellation or interruption, and lost or delayed baggage. This means that if you face any medical emergency while traveling abroad, your credit card’s travel insurance can help cover the medical expenses. Likewise, if you need to cancel or cut short your trip due to an emergency, your travel insurance can help reimburse the costs. Furthermore, if your baggage goes missing or gets delayed due to airline-related issues, your travel insurance can provide coverage for the costs incurred.
Besides travel insurance, various credit cards in the Philippines offer additional features such as cashback offers, reward programs, and discounts at partner merchants. Cashback offers provide a percentage of the money spent back to the user, which can add up over time. Rewards programs allow users to earn points or miles that can be redeemed for different benefits, such as flight tickets, hotels, and shopping vouchers. Discounts at partner merchants can offer an excellent way to save money on everyday purchases.
Before choosing a credit card with travel insurance or any other features, it’s essential to review the terms and conditions carefully. Some credit cards may have restrictions or limitations when it comes to travel insurance coverage, while others may require certain spending thresholds to access cashback offers or rewards programs. Therefore, it’s crucial to select a credit card that aligns with your spending habits and provides the features that matter most to you.
Application Process for Credit Cards in the Philippines
Getting approved for a credit card can be a challenging and confusing process, especially for those who are applying for one for the first time in the Philippines. Financial institutions consider several factors before granting credit, including income, credit history, and other eligibility requirements. In this article, we explore how to apply for a credit card in the Philippines, highlighting the minimum requirements, documents needed, fees, and other critical aspects of the application process.
Gather Required Documents and Fill Out Application Form
Your first step is to decide which bank or financial institution you would like to apply to. Once you have made a decision, visit their website to find out which documents are required for your credit card application.
Generally, you will be required to provide identification documents, such as a passport, driver’s license or government-issued ID. To prove your income, you will need to provide documents such as payslips or income tax returns. Other documents, such as mobile phone bills, bank statements, and time deposits may also be requested.
It’s crucial to ensure that you have all the required documents in order to complete the application process smoothly. Check the bank’s website to see if there are any additional documents that may be required. Make sure to gather all the necessary documents before proceeding with the application process.
After collecting all required documents, you may move on to filling out the application form. The application form needs to be filled out accurately and truthfully, providing all the necessary information requested. Be sure to read through the application form carefully to ensure that you have answered all of the questions correctly.
By taking a careful approach, gathering the required documents, and filling out the application form accurately and truthfully, you increase your chances of successfully obtaining a credit card in the Philippines.
Submit Documents to Bank or Financial Institution
Submitting the required documents is a crucial step in the credit card application process. The first step is to confirm the list of documents required by the bank or financial institution. These typically include a valid ID, proof of income such as payslips or income tax returns, and bank statements.
For self-employed applicants, a business registration and financial statements may also be required. As you prepare to submit the documents, ensure that they are complete, legible, and up-to-date. Any outdated or illegible documents may cause delays or even lead to a rejected application.
To avoid any setbacks, double-check the accuracy of all the information provided before submitting the documents. This step is crucial to ensure that your application process progresses smoothly. Don’t overlook the importance of providing the correct information as it may impact the bank or financial institution’s decision and could negatively affect your credit score.
Await Approval or Rejection Notification from Provider
Once an individual submits their credit card application with all of the necessary documents to their chosen bank or financial institution, they can expect to receive a notification regarding their approval or rejection status within several banking days.
If the applicant is approved, they can anticipate receiving their credit card via mail within a week or two of the approval notification. This exciting moment opens up a range of opportunities and benefits, depending on the credit card’s specific features, such as cashback rewards, travel perks, or low-interest rates. However, applicants must be mindful of the terms and conditions associated with their new credit card, such as monthly interest rates and late payment fees.
On the other hand, if an applicant’s credit card application is rejected, the provider will typically provide a reason for the denial. In this case, applicants should not get discouraged, but instead, conduct a careful self-evaluation to address any concerns or areas of improvement that may have contributed to the rejection. They can also contact the provider’s customer care or customer service team to determine if there are any steps they can take to improve their chances of approval in the future.
8 Credit Cards with Easy Application and Approval in the Philippines
Obtaining a credit card can be a daunting task, particularly for those who are unfamiliar with the application process. However, some credit cards have lower income requirements, easier application procedures, and faster approval times. To assist you in your search, we’ve compiled a list of eight credit cards in the Philippines that have easy application and approval processes. With the ease and convenience of these cards, you can be on your way to unlocking a new level of financial freedom and flexibility.
PNB Visa Classic
Looking for a reliable credit card in the Philippines? Look no further than the PNB Visa Classic, brought to you by the Philippine National Bank. This credit card has become a popular choice for Filipinos who are looking to build their credit because of its low-income requirement and low-interest rates.
The PNB Visa Classic comes with a credit limit of up to PHP 20,000 and offers a grace period of 30 days. Moreover, cardholders can benefit from its cash advance and installment options, making it a versatile solution for all your financial needs. Overall, PNB Visa Classic is an excellent choice for anyone looking to establish their credit history while enjoying the convenience of a credit card.
Citi Simplicity+
If you’re looking for a reliable and low-cost credit card option in the Philippines, Citi Simplicity+ may be just what you need. This credit card boasts several features and advantages that make it a standout option. So, what does it offer that makes it a top credit card option for Filipinos?
One of the key features of Citi Simplicity+ is the fee for life program. This means that once your application has been approved, you won’t have to worry about annual fees or joining fees for as long as you continue to own the card. Additionally, this credit card offers low interest rates, making it an attractive option for those who want to keep their finance charges to a minimum.
But that’s not all. Citi Simplicity+ provides a range of other benefits too, including cash rebates and travel insurance. This means you can earn cash back on your everyday purchases, or enjoy peace of mind knowing that you’re protected while traveling.
It’s also important to note that Citi Simplicity+ has a low minimum income requirement, making it accessible to a wider range of applicants, including self-employed individuals. However, be sure to check the specific requirements and ensure you meet them before you apply for this credit card.
Security Bank Fast Track Secured
The Security Bank Fast Track Secured credit card is an excellent option for those looking to build or repair their credit history. Unlike a traditional credit card, this secured credit card requires a minimum deposit that is used to secure the card’s credit limit. This means that the credit limit on this card is directly tied to the amount of your deposit, which builds your creditworthiness in a responsible way.
What makes the Security Bank Fast Track Secured credit card different from other secured credit cards is the absence of a high minimum deposit requirement. With an initial deposit of only ₱15,000, you can open a secured credit card account with a credit limit equivalent to your deposit. Additionally, if you put in a higher deposit, you may receive an even higher credit limit, giving you greater purchasing power to manage your finances.
It’s important to note that a secured credit card comes with additional fees such as annual fees and finance charges. The annual fee for Security Bank Fast Track Secured is ₱2,000, with finance charges of 3.50% per month. While this may seem steep when compared to traditional credit cards, it’s important to remember that this type of credit card is designed to help you build or repair your credit history. Creating a positive credit track record will set you up for better financial opportunities down the line.
To apply for the Security Bank Fast Track Secured credit card, the first step is to complete the online application form. Once submitted, you will receive a confirmation message with a reference number. You will need to print this message and bring it along with the required documents such as a valid ID and the minimum deposit to the nearest Security Bank branch. You can also set up a time deposit with Security Bank to use as your deposit if you don’t have the cash on hand.
AUB Easy Mastercard
If you’re interested in getting a credit card without worrying about high income requirements and steep annual fees, look no further than the AUB Easy Mastercard. This credit card is designed to provide benefits that cater to the needs of Filipinos who want to maximize their purchasing power while staying within their financial means.
One of the main benefits of the AUB Easy Mastercard is the low-income requirement, making it accessible to more people. This credit card also offers a cashback rewards program where you can earn up to 5% cashback on eligible purchases. Plus, the AUB Easy Mastercard comes with no annual fees, making it an ideal credit card if you’re looking to avoid unnecessary financial obligations.
Another feature that sets the AUB Easy Mastercard apart from other credit cards is the option to pay for purchases in monthly installments. This allows you to budget your expenses and manage your cash flow easier.
To apply for the AUB Easy Mastercard, simply visit their website and fill out the application form. The only necessary requirements include a valid ID and proof of income. Once your application is approved, you can immediately start using your new credit card.
It’s important to review the terms and conditions of the AUB Easy Mastercard before applying to fully understand the fees, payment deadlines, and other important information related to your credit card. With its many features and accessible application process, the AUB Easy Mastercard is certainly worth considering if you’re looking for a credit card that fits your lifestyle and budget.
BPI Family Credit Card
The BPI Family Credit Card is an excellent option for those looking for a reliable and rewarding credit card. This card provides numerous benefits and rewards, making it an ideal choice for everyday purchases.
One of the main features of the BPI Family Credit Card is its cashback rewards program, which allows users to earn up to 1% cashback on every purchase. This applies to both in-store and online transactions, making it an important tool for those who frequently shop online. With the BPI Family Credit Card, you can enjoy the benefits of cashback rewards without worrying about any complicated conditions or limitations.
The minimum income requirement for the BPI Family Credit Card is also relatively low, making it more accessible to a wider range of individuals. Moreover, the annual membership fee for this card is waived for the first year, which means that you can enjoy all the benefits and rewards of the card without worrying about any additional fees. The interest rates associated with the card are also reasonable, making it a financially responsible choice for those looking for a reliable credit card.
Aside from cashback rewards, BPI Family Credit Card users can also enjoy discounts and rebates when using the card for everyday purchases. These perks can include discounts from partner establishments, special offers on travel and leisure, and other exclusive deals. These benefits help users save money in the long run, making the BPI Family Credit Card a wise financial choice.
The BPI Family Credit Card also comes in different types, such as the Platinum Mastercard, Edge Mastercard, and Blue Mastercard. These cards offer varying features and benefits, which cater to different lifestyles and preferences. For instance, the Platinum Mastercard provides higher credit limits and more exclusive perks, while the Blue Mastercard has a lower minimum income requirement. These options allow users to choose a card that fits their specific needs.
If you’re interested in applying for a BPI Family Credit Card, the process is simple and straightforward. You will need to provide basic identification and proof of income, as well as fill out an application form. The approval process is quick, and once your application is approved, you can start using your new credit card right away.
EastWest Practical Mastercard
Introducing the EastWest Practical Mastercard: the perfect solution for those looking for a reliable credit card that’s ideal for everyday use. With its low-interest rates, cashback rewards, and easy payment terms, the EastWest Practical Mastercard is designed to make your life simpler.
Gone are the days of worrying about high-interest rates and excessive fees. With the EastWest Practical Mastercard, you can manage your finances responsibly while making everyday purchases, knowing that you’re not being charged exorbitantly.
In addition to affordable rates and cashback rewards, the EastWest Practical Mastercard also comes with purchase protection and travel insurance coverage to give you added peace of mind every time you use it.
Whether it’s for grocery shopping, gas expenses, or online purchases, the EastWest Practical Mastercard is an ideal credit card to use. Its easy payment terms make it convenient for you to purchase what you need without worrying about stretching your budget too thin.
So if you’re looking for a credit card that’s both practical and reliable, apply now for the EastWest Practical Mastercard. With its numerous features designed for everyday use, managing your finances has never been this effortless.
HSBC Red Mastercard
Looking for a credit card that can give you substantial purchasing power and practical benefits? Look no further than the HSBC Red Mastercard, which offers a credit limit of up to 4 times your monthly income. This flexible credit limit is accessible to a wide range of income earners, making it a great choice for those who want financial freedom without unnecessary restrictions.
One of the highlights of the HSBC Red Mastercard is its cashback rewards program, which provides up to 5% cashback on groceries, fuel, and telecom services. This means that every time you use your card for these everyday purchases, you can earn cashback and save money in the process. Imagine getting paid to shop for your basic needs – that’s what you get with the HSBC Red Mastercard.
If you’re a frequent traveler, then the HSBC Red Mastercard is an even more compelling option. This credit card provides travel insurance coverage of up to PHP5 million, giving you peace of mind wherever you go. Whether you’re booking a flight, hotel, or tour package, you can enjoy worry-free travel knowing that you’re covered by your card’s insurance.
But the benefits of the HSBC Red Mastercard don’t end there. Cardholders also get access to HSBC’s customer care, which means that any questions, concerns, or issues can be addressed promptly and professionally. Plus, you can enjoy exclusive privileges like discounts, freebies, and promotions at partner establishments, giving you even more opportunities to save money and get more value out of your card.
With all these features and benefits, it’s easy to see why the HSBC Red Mastercard is an ideal choice for credit card applicants in the Philippines. Apply for one today and experience the financial freedom and practical advantages that come with using a top-tier credit card like the HSBC Red Mastercard.
RCBC Bankard InstaCard Secured Credit Card
Are you having trouble getting approved for a credit card due to a low credit score, or maybe you have no credit history? With the RCBC Bankard InstaCard Secured Credit Card, you can build a positive credit history without the worry of being rejected.
To apply for the RCBC Bankard InstaCard, simply deposit a minimum of PHP 10,000 in an RCBC savings account, which will serve as your credit limit. This deposit ensures that you have the means to make payments and responsible use of your credit card.
But just because it’s a secured credit card doesn’t mean you miss out on the usual perks and rewards. As an RCBC Bankard credit card, it offers cashback rewards on your purchases, discounts on dining and shopping, and even travel insurance, making it an excellent option for your everyday expenses.
The RCBC Bankard InstaCard Secured Credit Card not only helps you establish credit but also helps you manage your finances. With responsible use, you can eventually qualify for other credit cards with higher credit limits and more rewards.
Don’t let a low credit score or no credit history stop you from getting a credit card. Apply for the RCBC Bankard InstaCard Secured Credit Card and take the first step towards building a brighter financial future.
