Apply for credit card or credit – What makes sense when?

The credit card – from the purses, it is now indispensable. No wonder, it can be quite comfortable and pay for almost everything without cash.

For a long time, credit cards were the status symbol of the “rich”. Meanwhile, the little plastic cards are available for everyone. A credit card is usually applied for with the credit card because a “real” credit card has a so-called credit line. Credit cards are particularly useful when a loan is required at a low level and over a short period of time. Since the utilization of the credit line can be up to the full amount but also the debt trap, should always be considered optional on a low-interest installment loan – depending on the purpose and need.

The credit card – Convenient loan for emergencies


Credit cards are now a worldwide accepted form of payment. A division takes place mainly according to the method of payment in cards with and without a credit line.

For the classic credit card, a credit line is common. Within this credit limit, the cardholder can make purchases. The amount claimed must then be repaid after a contractually agreed period. For some credit cards, this is done in installments, similar to a installment loan.

For credit cards without a credit line – the so-called prepaid credit cards – the debiting of the invoice amount takes place directly after the approval of payment from the credit card account.

To apply for a credit card, the following conditions must be met:

  • Minimum age of 18 years (Exception: Prepaid cards with a credit balance are often issued as early as twelve years)
  • Main residence in Germany (to safeguard the liability claims of the bank)
  • sufficient creditworthiness (necessary for applying for credit and revolving credit cards)
  • Legitimation (medium postident or videoident method)
  • Clearing account for the reimbursement of card transactions (Source: credit card )

Applying for a credit card is usually quite straightforward. It can be done directly in the branch of the house bank or online. It makes sense, especially when applying online for a comparison, to find the best possible conditions.

The following information is required for the credit card application:

  • First and last name of the applicant
  • Date of birth and place of birth of the applicant
  • Residential address of the applicant
  • marital status
  • Number of Children
  • Occupation as well as information on income
  • Information on the residential status (eg home, rent, etc.)
  • Pre-address (if moving within a certain time before application)

Based on this information, credit card companies obtain information about the creditworthiness of the applicant, so the information plays an important role in deciding whether or not to accept the credit card application.

Credit card can easily be applied for online

Credit card can easily be applied for online

It has become child’s play to apply for a credit card online. On the home PC, the application can be made around the clock. Mostly it is not quite without paperwork. As a rule, it is necessary to print out the application or have it sent to you and then have it legitimized by means of the Postident procedure in accordance with the Money Laundering Act. However, some providers also work with the videoident method for legitimacy.

The application takes different lengths depending on the credit card, with Videoident the processing time is usually shortened. Prepaid credit cards that do not receive a Schufa request are usually sent faster.

Alternative to the credit card: the credit

Alternative to the credit card: the credit


The use of a credit card with a credit line can quickly lead to the debt spiral. A cheap alternative to the credit card can be a loan. This can now be applied for online without any problems.

The use of a credit card is always problematic when it comes to a higher amount for financing, which also can not be paid within a very short time usually two to three months. In this case, the application for a installment loan makes much more sense.

But why is that?

Quite simply: The interest rates make a loan cheaper. This is especially the case with online loans. The sometimes large difference between the interest rates of credit cards and loans can have a significant effect on the amount of monthly installments to be paid. The total repayment amount for a loan is usually effectively lower.

Applying for an online loan is just as easy as applying for a credit card.

For the application, the following information is usually mandatory:

  • Age of the applicant (and possibly a second borrower)
  • permanent residence in Germany
  • sufficient credit rating
  • Account in Germany
  • regular income (provable by salary statements of a permanent employer or a pension or tax assessment)
    (Source: )

Online loans are – as the name suggests – completed on the Internet. The comparison also takes place on the Internet and should be carried out as thoroughly as possible. After the preliminary decision of the bank, however, the application must also be personally signed and returned to the lender by means of a postident procedure. The installment can be adapted to the personal situation and is consistent monthly, so planable.

Conclusion: credit card or credit? – Decision must be made individually


If you are unsure about whether you should apply for a credit card or a loan, then first ask yourself what you need the money for.

If the issue is higher and can be planned, an online loan will be rather worthwhile due to very favorable interest rates. However, if an issue becomes very short-term and unplanned, then using a credit card may be more beneficial.


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