What's the difference between pre-approved and pre-qualified credit cards?

Pre-approval means that a credit card company has made you an offer for one of their cards, usually via mail or email.

What you should know about credit card pre-approval:

Receiving a pre-approved offer means the issuer has done a soft pull on your credit report and concluded that you are a good fit. It also means you have high chances of acceptance if you decide to apply for the card in question. Unlike … read full answerhard inquiries, which are done by issuers when you apply for a credit card, soft pulls don’t hurt your credit score. But they don’t guarantee approval, either.

While there are plenty of issuers that offer pre-approved credit cards, it's important to note that not all of them offer this feature. Also, until you actually apply for the card, you won't know for sure if you got approved for it.

You can pre-qualify for a credit card online, via mail, or in person, depending on the card and its issuer. Credit card issuers will typically send pre-approved offers to people who have good approval odds based on a soft pull of their credit. In addition, most major credit card issuers allow you to check for pre-qualification on their website by providing your full name, address, birthday, and Social Security number.… read full answer

Pre-qualification and pre-approval are similar, though pre-approval is technically initiated by card issuers, while you initiate pre-qualification. The benefit of getting pre-approved or pre-qualified for a card is that it can reassure you that your application is more likely to be approved. This means you won’t waste a hard inquiry on your credit report applying for a card you aren’t qualified for.

Ways to check for credit card pre-qualification:

• Online: The easiest way to see if you’re pre-qualified for a credit card is to check a credit card company’s website. Most major issuers let you find out if you prequalify for a credit card online.
• Via mail: Credit card companies send pre-approved offers to people they think are a good fit for a particular card.
• In person: You may be able to get pre-approved for a credit card in person at bank’s or credit union’s branch.
• Shopping: When you shop at a store, whether online or in person, you might be told that you’re pre-approved for the retailer’s store credit card.

Keep in mind that pre-qualification doesn't mean you'll definitely get approved, it just indicates that your chances of approval are high.

If you’re looking for a credit card that offers pre-qualification, feel free to check out our editors’ pick on the best pre-approved credit cards available right now on the market.

Being pre-qualified for a credit card means the issuer has done a soft pull of your credit history and concluded that you are a good fit. It also means you have an 80%+ chance of acceptance if you decide to apply for the card in question. It’s very similar to … read full answerpre-approval in those regards. The main difference is who makes the first move. If a credit card company sends you an offer, it’s probably pre-approval. But if you check yourself, on an issuer’s website or by visiting a branch, it’s pre-qualification. However, the distinction is small enough that people often use the terms interchangeably.

Some issuers let you check of pre-qualification online, while others only send offers in the mail. And if you don’t want to get offers, you can opt not to receive them at OptOutPrescreen.com But prequalification can be a big help in choosing which card to apply for, since it helps you limit applications to your most likely options.

Here’s what getting pre-qualified for a credit card means for you:

• American Express, Bank of America, Capital One, Chase, Citibank, and Discover all let you check for prequalification online. You’ll need to provide your full name and Social Security number. You may also have to provide your birthday and home address. You’ll then be shown which cards (if any) you prequalify for, along with an application link.
• If you get a pre-approved offer in the mail, it will come with a code that you can use to respond to the offer on the credit card company’s website. But they’ll also send you a paper application that you can fill out and mail back if you prefer.
• Whether you’re pre-approved or pre-qualified, you still need to apply, and you aren’t guaranteed acceptance. But you do have a very strong chance.

Getting pre-qualified for a credit card means you can apply knowing that you probably aren’t wasting a hard inquiry on a long shot. And if you sign up for WalletHub, you’ll get personalized credit analysis with card recommendations tailored to suit your circumstances as well.