Thread: Applying for a credit card while unemployed? Advice?

I have gotten a few Gold Card invitations over the last few months (maybe 3 or 4 in the last six months), and I'm wondering if that increases my chances of getting approved.

Though I have had credit problems in the past, I have been working on improving my credit score (that's why I want to apply for a new AmEx card) and have been paying off my credit cards in full every month over the last 4 or 5 years. The last time I checked my credit score, which was a while ago, it was in the mid to high 600's. I am currently unemployed, but still have been good about paying my CCs in full each month. I have even managed to increase my credit limit on one of my cards just today.

Any thoughts? What are my chances of getting approved by AmEx?

As part of CARD Act you will need to enter your income on your application. Unemployment is considered income and you can't be denied based on the fact that your income is unemployment. But they will take your income and factor it into a formula to determine your ability to repay. Your unemployment amount may be too low.
Also, I do not suggest flubbing your application with Amex. You never know if they may decide to do a Financial Review on you and if they determined that you told while lies you could have your account closed by grantor. Not a good way to start out a relationship with Amex.
Best to wait until you have steady income again. You have waited this long, what's a few more months?

First of all which American express card are you interested in applying for? I can tell you from about 1994, I canceled my first fidelity visa because my annual fee was due that month and at that same time, I kept getting pre approved gold card invites with no annual fee. all of those banks are gone now but I must have been turned down at least 5 or 6 times for invites because the applications says pre approved means nothing.

Since you have other credit cards and you are paying in full, I will say you have a 70% chance on getting a card.

Just like what cc says whatever your unemployment salary is, write down the honest income. it's ok to round off.

Thanks for the input!

I'm interested in applying for the gold card since that's what I get invitations for, but I hope to just use the gold card (if approved!) to get my foot in the door with AmEx. At some point, I'd like to have a Blue Cash, as I like that it has no annual fee and gives cash back. I also like that the Blue Cash has travel insurance, since I travel maybe 3 or 4 times per year.

I'm hoping to land a job soon and will probably hold off on applying until then....which makes me think of another question: Does it matter if I've only been with my employer for only one or two months if/when I apply?

Originally Posted by cambridgechica

Thanks for the input!

I'm interested in applying for the gold card since that's what I get invitations for, but I hope to just use the gold card (if approved!) to get my foot in the door with AmEx. At some point, I'd like to have a Blue Cash, as I like that it has no annual fee and gives cash back. I also like that the Blue Cash has travel insurance, since I travel maybe 3 or 4 times per year.

I'm hoping to land a job soon and will probably hold off on applying until then....which makes me think of another question: Does it matter if I've only been with my employer for only one or two months if/when I apply?

I'd say no it doesn't matter how long you've had the job. As long as you state your correct income. They actually did a financial review on me, probably cuz they thought I didn't put my honest income but I did and Amex does not mess around like the others said so never lie to Amex.

I would have to agree with what CC said. Your yearly salary from unemployment won't be high enough for a gold card.

If I were you I would try for a lower level card like Blue, Blue Cash or the clear card. those aren't executive cards, no annual fees, any Tom, Joe or Harry can get one. Not for your first credit card but assuming you have a Visa or Mastercard, you can probably get 1 of the lower level blue or clear cards. But there is no guarantee you can get a premium card.

Originally Posted by Money card

If I were you I would try for a lower level card like Blue, Blue Cash or the clear card. those aren't executive cards, no annual fees, any Tom, Joe or Harry can get one.

thank you! i was under the impression from reading various posts on this site that it's easier to get an approval for charge cards like the gold card vs. credit cards like blue cash. i actually do prefer blue cash vs. the gold card, but i was thinking that if it's easier to get the gold card, i would apply for that first just to get my foot in the door with amex. so should i just skip the gold and go straight to blue cash once i have steady income again?

I know 1 of my hooters waitresses last year told me she had a blue cash card do you think she could get a premium like the gold card?

executives like people in forbes magazine, walmart execs, those people have the premium credit cards, while average people have the clear or any blue cards.

once you have a steady income it's up to you. do you want a premium card with a annual fee of 125 or 175? that's up to you.

Of course she can get a premium card, as long as she fulfill all the requirements and be ready to pay for the fees, she can have it.

i am a pretty normal/regular person, and i have a very premium one, just because i like the perks it has.

Originally Posted by Money card

I know 1 of my hooters waitresses last year told me she had a blue cash card do you think she could get a premium like the gold card?

executives like people in forbes magazine, walmart execs, those people have the premium credit cards, while average people have the clear or any blue cards.

once you have a steady income it's up to you. do you want a premium card with a annual fee of 125 or 175? that's up to you.

ummmm....i've met hooters waitresses (and several strippers/dancers) who have amex gold. during undergrad there were undergrads with income statements of 21K who received gold (and even gold premier). the charge cards are 'easier' to get than the credit card because amex has less liability on the books for the charge as they are expected to be paid in full every month (for the most part -- but there are exceptions to this rule as my roommate has a gold premier and she can carry a balance on it). because there is a greater amount of liability for amex with the credit cards understandably they are a bit stricter with their requirements.