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Why was my credit card application declined?

Worried about your credit card application being rejected? Read this guide to find out why you could be declined and how you can improve your chances next time.


You need to meet a number of requirements to have your credit card application approved. This also means that there are many reasons why your application might be rejected by a lender. From making a mistake on the application, not including supporting documentation or failing to meet the minimum income requirement, this guide covers a few of the common reasons why your credit card application could be rejected and how you can increase your chances of approval.

8 reasons why your credit card application may be declined

Understanding the different reasons your credit card application may be rejected could help you increase your chances of approval. Some of the common reasons your application may be rejected include:

  1. Your age. If you are under 18 years of age then your credit card application will be declined.
  2. Incorrect information on your application. Something as simple as entering your driver’s licence number wrong or misspelling your residential address could mean the credit card issuer is unable to verify your details and move forward with the application process. This is why it’s important to carefully review your application before you submit it. If your application is denied because of an error, you may be able to resolve the situation with the issuer by amending your application.
  3. Recent changes in your circumstances. If you have recently moved or changed jobs and you haven’t updated this information across all your networks, it could be hard for the issuer to verify your identity or access your credit report. As with mistakes on the application, you may be able to deal with this by calling the credit card issuer and providing additional documentation. If you include your employer’s contact details in the application, you should also let them know that they may receive a call from the bank regarding your application.
  4. Failing to meet minimum income requirements. Credit cards have minimum income requirements that you must meet to apply. If your annual earnings are less than this amount, your application will be declined.
  5. Employment circumstances. Stable, ongoing employment helps show to lenders that you can meet repayments for a new credit card. So if your employment is temporary, casual, part-time or hard to verify for some other reason, you may find it hard to get approval. If this is the case but you meet the income requirements, contact the bank beforehand to confirm if there is any additional information you need to provide to demonstrate your ability to repay.
  6. Financial risks. When you apply for a credit card, you have to enter information about your income and expenses. If your expenses outweigh or take up a large percentage of your income, the issuer may consider you a high-risk applicant that could struggle to repay their balance.
  7. Not meeting citizenship or residency status. Some cards may only be available for permanent residents and citizens of New Zealand. So your application could be rejected if you don’t meet these requirements for a particular card.
  8. Bad credit history or “adverse bureau” information. When you apply for a credit card, the issuer will request a copy of your credit file from a credit reporting agency. If you have negative or “adverse bureau” information in your credit history – such as late payments, defaults, too many applications for credit or even not enough credit history – the issuer may decline your application.

It’s important to remember that credit card issuers assess applications on an individual basis, so the specific reasons your application may be declined will vary depending on the circumstances. Some issuers may be willing to discuss these details with you but others may not. Either way, it’s a good idea to keep a copy of your application and go over all the details above to figure out the likely reason/s it was declined.

How can I improve my chances of credit card approval next time?

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Now that you know the most common reasons credit card applications are declined, you’ll be able to avoid those issues next time you apply for a credit card. The following key strategies also help you increase your chances of approval:

  • Choose a card that suits your circumstances. Make sure the credit card you apply for is right for your needs by considering how it will fit with your current financial situation. For example, you want to make sure you’ll be able to make the repayments with your current income and expenses.
  • Get a copy of your credit report. You can request a free credit report from the major bureaus. This allows you to make sure all the details listed are current and accurate. It can also give you a better understanding of how you can improve your finances. For example, if you see a lot of listings for late payments, you may want to focus on paying your bills on time to help improve your credit score before you apply for your next card.
  • Update all of your details before you apply. Make sure your residential address, phone number, email address and employment information is updated across all your networks so that it is easy for credit card issuers to verify the information on your application.
  • Read over the application before you submit it. Going over the details in your application will help you pick up any errors before you hit the “submit” button. You could also get a friend or relative to peer review the application to ensure you haven’t included any mistakes before you apply.
  • Have your supporting documentation ready. Credit card issuers require a range of documents before they can fully process your application, including copies of your passport or driver’s licence, pay slips and bank statements. It can speed up the application process if you have these documents ready before you apply because you’ll be able to provide them as soon as they’re requested.

Dos and don’ts for credit card applications


  • Compare credit cards before you apply
  • Check all the application requirements
  • Provide accurate information on your application and review your application for mistakes before you submit it


  • Don’t apply for several credit cards within a short period of time
  • Don’t apply for another card soon after being rejected
  • Don’t apply if you can’t meet the card requirements

Credit card issuers require a wide range of information before they can make a decision about your application. By learning more about these requirements and the common reasons applications are declined, you can make informed decisions about what cards to apply for and increase your chances of approval in the future.

Frequently asked questions about declined credit card applications

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