Can You Get A Low Interest Credit Card If You Have A...

Can You Get A Low Interest Credit Card If You Have A Criminal Record?


Before a bank issues a credit card, it wants to check the credit record of the borrower to ensure that he is creditworthy. The greater the reliability depicted by your credit history and your credit scores, the lower will be the rate of interest you will pay. And it works both ways.

If your credit ratings are not so great or if there is an incident that may cause the bank to doubt your reliability, you may be given the credit card, but your interest rates will be much higher compared to an individual with average rating. The factors that may have a significant impact on your creditworthiness could be your criminal record, besides the economic and demographic factors that the bank will consider.

With a criminal record, it is not impossible to get a credit card, just harder and more expensive. Most lenders, whether they are banks or financial institutions, want to minimize their risk while lending.

Though details of criminal records do not directly find place on any credit report, they can indirectly affect you as exhaustive checks are made on your personal profile. If the criminal record is in the recent past, then the lending institutions see you as a big credit risk. Getting a low interest loan in such a scenario is a truly difficult proposition.

Whether your criminal record is for a minor offense, misdemeanor, conviction or even for an offense where your guilt was not established, be prepared to be answerable for it while the bank is investigating your credit score. Though you are not legally obliged to divulge any of your criminal history to a lending institution, exhaustive checks by these companies will surely bring the information to the fore.

Since you have to submit a copy of your current residential address, the information about the number of years you have resided there, your driving license, utility bills, bank statements, etc, the investigators can read between the lines and deny the credit card or ask for very high interest rates for issuing one.

One of the plausible ways of avoiding this inconvenience is to expunge the criminal record. An expungement will cause your record to disappear from all registries so that it is not available for anyone’s perusal. Expungement of criminal record is also a simpler option to avoid paying exorbitant interest rates for years on credit card loans.

Page 1