No-deposit credit cards with instant approval and use

When applying for a new credit card, it can be tempting to search for options with no security deposit, quick application approval and instant use. While these features may be available, it’s important to understand how they work and what to consider before applying.

What you’ll learn:

• Credit card issuers may offer approval and usage within minutes, thanks to online applications and virtual credit cards.

• Credit cards that don’t require security deposits are known as unsecured credit cards.

• Checking for pre-approved card offers can give you quick insight into potential card options.

Some issuers may let cardholders use their credit card accounts almost as soon as their application is approved. These might be called instant-use credit cards. Some other issuers may require cardholders to wait for physical cards to arrive in the mail. 

To use a card instantly might require a virtual credit card. Adding card information to a digital wallet might be another way.

There are also instant-approval credit cards, which let you know whether you’re approved for a card within seconds or minutes of submitting an application. But not all instant-approval cards are instant-use cards, and vice versa.

It’s a good idea to do your research to determine whether an issuer offers instant-use cards before applying. And keep in mind that access to and eligibility for instant-use credit cards can depend on the credit card and your credit profile.

You may be able to get an instant-approval, instant-use credit card with no security deposit, depending on factors like your credit history and which card you apply for. 

A credit card that doesn’t require a security deposit is known as an unsecured credit card. Credit card issuers typically use a borrower’s creditworthiness to determine whether they qualify for a card. So it’s generally easier to get approved for an unsecured credit card with good credit scores. 

A secured credit card requires a refundable security deposit. When used responsibly, secured cards can be a great way to build or rebuild credit.

You generally can’t get a credit card without a credit check. Credit card issuers that advertise no credit checks will still typically conduct some kind of assessment before approving applications. But instead of checking your credit, the issuer may check your employment history or income. And credit cards that promise no credit check could come with hefty fees and interest charges.

If you’re concerned about not having credit history for lenders to check, there may still be credit card options, such as secured cards.

There’s no way to guarantee that you’ll receive instant approval on a credit card. That said, some credit card issuers could determine whether you’re approved for a credit card within seconds or minutes. These are often called instant-approval credit cards. 

Whether you’re rebuilding credit or already have excellent credit, there are a few steps you can take before you apply: 

1. Monitor your credit scores. Know your credit scores and apply for a card in a corresponding range. One way to check your credit is by accessing your free VantageScore® credit score and TransUnion® credit report with CreditWise from Capital One. 

2. Check your credit reports. Regularly check your credit reports from the three major credit bureaus—Experian®, Equifax® and TransUnion—to dispute any fraud or errors and make sure you don’t have any late payments hurting your credit. You can access your credit reports at AnnualCreditReport.com.

3. Get pre-approved. Consider seeing whether you’re pre-approved for a credit card to determine whether you meet at least some of the initial criteria before officially applying.

4. Use credit responsibly. Managing credit responsibly includes making on-time payments and staying below your credit limits. Experts recommend keeping your credit utilization ratio under 30%. Paying off your statement balance each month can help you keep your credit utilization ratio down and avoid interest charges.

Keep in mind that the higher your credit scores, the more likely you are to qualify for lower interest rates on new credit card accounts. And applying for a credit card online may be the quickest option.

Choosing a credit card is a personal decision. And which card is right for you depends on your goals and financial situation. An instant-approval, instant-use credit card may be a good fit if you need quick access to credit to cover unexpected expenses, for example. You may also want to consider building up an emergency fund for future unplanned costs.

It’s possible to receive near-instant approval and use for an unsecured credit card. But remember: It’s a good idea to be cautious with any company claiming to offer guaranteed approval or no credit checks. 

If you have good credit and apply online, you may be able to get approved for a credit card quickly. And you might even be able to start using the account right away.

Ultimately, the best credit card for you will depend on your credit scores and specific needs. Wherever you are in your credit journey, you can see whether you’re pre-approved for a Capital One credit card today without harming your credit.