What does it mean when your credit card application is pending?

One of the benefits of applying for credit cards online is the ability to know whether you’ve been approved or rejected within minutes — but in some cases, all you’ll learn is that your credit card application is “under review” or “pending.”

What does it mean when your credit card application is under review? Why do lenders occasionally need extra time to evaluate credit applications, and how long will you have to wait until they make their decision? Let’s take a close look at what happens when your credit card application is pending — and what you can do while you wait to hear back from the credit card company.

How long does it take to review a credit card application?

How long does it take to get approved for a credit card application? It depends. In many cases, when you apply for a credit card online you learn the status of your credit card application within minutes — and if your application has been accepted, you’re often able to make online purchases with your new credit card number right away. (It’ll still usually take 7 to 10 days for the physical credit card to arrive in the mail.)

However, credit card issuers sometimes need additional time to review a credit card application and make a final decision. This means that you may receive the message that your application is “pending” or “under review.” Many pending credit card applications are resolved within a few days, though it can take two weeks or more for some lenders to complete the review process.

Common reasons your application may be under review

Lenders occasionally need extra time to accept or decline a credit card application. Here are some of the most common reasons why your application might still be under review:

  • The information you included on your application might not match the information on your credit report. Maybe you accidentally mistyped your phone number, for example, or perhaps you recently moved and your credit report hasn’t yet updated to reflect your new address.
  • You recently applied for a lot of new credit. Lenders may want to investigate your recent credit inquiries to determine whether you might be planning to take on more debt than you can pay off.
  • The lender might suspect identity fraud. If there are discrepancies between your application and your credit report, or if you applied for multiple credit cards within a single day, a lender might wonder if someone else is trying to take out credit in your name.
  • The lender needs to verify your application. In some cases, lenders will contact you to verify the personal information or income information you included on your application.
  • The lender might be overwhelmed with applications. When a bank or credit card issuer releases a new credit card — especially if the credit card offers unique rewards or a popular sign-up bonus — they might receive more applications than they can process at once…….Read More>>

 

Source:- bankrate

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