10 Ways Credit Card Companies Pick You for Offers

4 min read
Credit Card Offers

Have credit card offers mysteriously showed up in your mailbox? But, you haven’t applied for any credit card offers, nor have you done anything differently, you think. So then why are these credit card companies sending you prequalified offers? What makes you the person that credit card companies want to do business with?

10) Who Credit Cards prefer

Card Preference

While many people would assume credit card companies would pick people who are very wealthy or have a high amount of extra spending money, that is simply not always their preferred clientele. The most desired customer of a credit card company is a college student. College students are prime prospects because they know your parents will bail you out if you get into trouble. Also, since college students are just starting out, they are excited about the years of interest payments you have ahead of you.

9) Low credit score? No problem!

Low Credit Score

Many credit card companies, such as capital one and discover, are used to build credit once you have gotten yourself into debt. Credit card companies are smart and know that if you have a low credit score, you’re more than likely not great at managing money. Or maybe you’ve made a mistake and now want to correct that with a credit card. Whatever your life situation may be, a low credit score is a sign to some credit card companies that they can make a lifetime of interest off of you. However, you need to make sure you’re starting to build your credit before they will offer you a decent card with a decent APR.

8) High credit score? Yes, please!

Credit Score

Even those with high credit scores have a tendency to spend above their means. This is especially enticing to credit card companies because they get to make money from the interest you make, AND they know you can and will pay monthly. If you have a high credit score, you can basically have your pick of credit card companies. This is why you get offered lower rates, because they have competition and because you’re a low risk. You will almost always receive prequalified credit card offers in the mail if you have a high credit score and make payments on time.

7) Balance Transfers

Balance Transfers

Credit card companies, like mentioned above, are in competition, especially for those higher credit score customers. They will offer a new card with them and a bonus, you can roll your old balance to a new credit card! This is a great offer because they usually give a grace period. This is a period where you don’t have to pay any interest. However, once that is over, any amount left on the card will have built interest over time and will be in full effect. This allows the company to basically get your debt for “free” rather than buying it at a nominal price from another company.

6) Payment History

Credit History

When credit card companies see that you make payments on time and never miss, that’s a huge sign that you are a great potential customer. They want the responsible, reliable person that spends more than they earn on a monthly basis. Whether they see your car loans or mortgages, these will show them how your payment history looks.

5) Your Income


One of the most obvious ways that credit card companies know who would make a potential customer is how much money you make. This tells them how much you have to spend on a monthly basis and if you can afford the monthly payment. They also target high-income earners because of social pressures to spend more to keep up with neighbors or other high-income friends.

4) Debt to Income Ratio

Debt Income

On the same side as income is your debt to income ratio. When credit card companies do a credit check on you it tells them your income and how much debt you are already in. This will signal to the credit card companies how much you can actually afford monthly and whether or not you would be a great customer to have.

3) Reports from Billing Agencies

Billing Agency

Along with your payment history from a credit check, places like your power company or phone company sell your information. They sell it to multiple different companies but that includes credit card companies. This is why you may receive offers for several credit card companies even if you’ve never had a credit card before. These companies sell information such as your name, address, phone number, payment history, and sometimes even salary.

2) Shopping at a Particular Store

Credit Card

When you go to your favorite store often, you are likely to receive an offer for a store credit card. Businesses, such as Amazon, offer all of their members a chance to receive a credit card, and often they’ll offer something like “$100 off your next purchase!” in order to make it that much more enticing. Store credit cards will also offer a variety of discounts and points related to having said credit card. If you shop often at say, Kohl’s, they offer “Kohl’s cash” on what you spend. So if you spend $50, you may get $10 “free” to spend the next time you shop. This entices customers to spend more and more.

1)  Belonging to a Certain Organization

Certain Organization

A lot of times, your personal information isn’t so private. Belonging even to just regular organizations such as AARP or owning a Harley-Davidson motorcycle will get you unsolicited offers from credit card companies if you have a membership to AARP, more than likely, you will receive offers from Chase for the Chase AARP Visa. Or if you buy a Harley-Davidson, chases are you will receive an offer from the U.S. Bank Harley-Davidson. They will use this information to offer you preapproved credit cards.