Bank Credit Cards

• Credit card companies generally do not have access to your bank account when you apply for a credit card. However, if you apply for credit through your bank, they have the ability to view your account balance. The extent to which your balance impacts your approval status is based on the policies and requirements of your bank. A high average daily balance, or the average amount you keep in your account over the course of a month, can increase your chances of approval because it shows you can afford to repay your debt.
  
  

Secured Credit

• When you apply for a secured credit card, your bank account balance is used to secure the debt. Banks generally require that you place an amount in a savings account to remain untouched when you apply for a secured credit card. The money can only be withdrawn from the savings account if you default on your credit card agreement. Your credit card limit is equal to the balance of the account you use to secure your debt.
  
  

Information in Your Credit Report

• Most credit card companies use information in your credit report to determine your credit worthiness instead of a bank account balance. Your credit report information and credit score shows your level of risk as a borrower. For example, the presence of high balances on credit cards or a history of late payments can negatively impact your ability to receive need credit. There are credit card companies that extend new credit card accounts to consumers with bad credit. However, these companies generally charge high interest rates and issue cards with relatively low credit limits.
  
  

Cash Reserves

• The amount you keep in a bank account is helpful when you experience financial hardship and need cash reserves. Some consumers use savings as a way to ensure they can afford their monthly bills in the event of an emergency or substantial loss in income. However, bank accounts are private information and are usually not accessible to a creditor unless the creditor is your bank. If you are unable to afford repaying your credit card debt, avoid applying for a new card. Credit card debt can accumulate quickly and lack of cash in your account can lead to your account becoming a financial burden.