What to Do After Being Pre-Approved

Being pre-approved for a credit card, such as the American Express card, is an exciting first step toward gaining access to better rewards, credit limits, and financial flexibility.

However, it’s essential to understand the next steps to take after receiving pre-approval.

Review Your Pre-Approval Offer

Once you’re pre-approved, carefully review the offer. Make sure you understand the type of card being offered, the interest rates, annual fees, and the rewards program. Check if the offer matches your needs and financial goals, as some cards come with specific benefits that might align better with your spending habits.

Check Your Credit Report

Before moving forward, it’s a good idea to review your credit report. Even though pre-approval doesn’t impact your credit score, your actual application will include a hard inquiry, which may cause a slight dip in your score. Ensuring your credit report is in top shape can help boost your chances of final approval.

Submit the Full Application

After reviewing the details, if you’re satisfied with the offer, proceed to complete the full application. This involves submitting more detailed personal and financial information, such as income, employment status, and other relevant data. At this stage, a hard inquiry will be made, which can have a temporary impact on your credit score.

Be Ready for the Approval Process

Once you submit your application, it’s time to wait. American Express will review your credit profile and financial situation in more detail before deciding whether to approve or deny your application. This process can take anywhere from a few minutes to several days.

Consider Your Credit Limits

If you’re approved, review your credit limit. The pre-approval process helps American Express gauge your financial eligibility, but your final limit could be higher or lower based on your complete financial picture. Be prepared for the possibility of a lower limit if you have existing debts or lower credit scores.

Understand the Terms

Before activating your new American Express card, take time to read through the cardholder agreement and familiarize yourself with any terms, such as the payment due date, interest rates, and fees. This ensures you don’t miss any important details that might affect your overall experience with the card.

Accept the Offer or Look Elsewhere

If you feel the offer doesn’t meet your expectations or you’re not satisfied with the terms, don’t hesitate to decline the offer and explore other options. You’re not obligated to accept a pre-approval, and there are many different cards to choose from that could better suit your needs.