The information provided on this blog is for general informational purposes only and does not constitute financial advice. I am not a financial advisor, and the content shared here reflects my personal experiences and opinions. Please consult a qualified financial professional for advice tailored to your individual circumstances before making any financial decisions.
Booking more travel—and better travel—starts with having the right credit cards in your wallet. These cards earn valuable rewards, from transferable points to co-branded perks, that can turn everyday spending into affordable travels. Whether it’s a budget-friendly family vacation or a luxurious getaway, the right credit card can make it happen.
But what if you’re a stay-at-home parent? While many believe that not having a traditional income might prevent approval, the truth is that applying for a credit card as a stay-at-home parent is more accessible than you might think. In fact, the process is nearly identical to anyone else’s—with one key consideration: income. And here’s the good news—income requirements aren’t the hurdle they seem. Let’s explore how you can confidently apply for the right credit card and start racking up your rewards.
Credit Card Applications Are Mostly the Same
Understanding the Key Factors for Approval
When applying for a credit card, the approval process relies on five main factors, regardless of whether you’re a stay-at-home parent or not. These factors directly influence your credit score, which lenders use to assess your creditworthiness.
Payment History
Payment history is straightforward but crucial for successfully using credit cards to earn free or nearly free travel. To maintain or improve your payment history, it’s essential to pay off your credit card balances in full each month. On-time payments not only help you avoid costly interest charges but also strengthen your credit score, which is a key factor in getting approved for premium travel rewards cards.
Amounts Owed (Credit Utilization)
Credit utilization refers to the ratio of how much credit you’re using compared to your total available credit. For example, if you have a combined credit limit of $10,000 across multiple credit cards and currently owe $500, your credit utilization rate would be 5% ($500 ÷ $10,000). 10% or lower is ideal for maximizing your credit score, however, I strongly recommend avoiding interest charges by paying off your balances in full each month. The closer your utilization is to 0%, the better for both your financial health and credit score!
Length of Credit History
The length of your credit history shows lenders how long you’ve been managing credit responsibly. Generally, the longer and more consistent your track record of reliable credit use, the more likely lenders are to view you as a trustworthy borrower. A strong, established credit history can lead to better offers and higher credit limits over time.
Credit mix
Credit mix refers to the variety of credit accounts you have, such as credit cards, mortgages, auto loans, student loans, or other types of debt. A diverse mix shows lenders that you can responsibly manage different types of credit.
New credit (Inquiries)
This category is referring to hard inquiries (hard-pulls) on your credit profile. This happens when a lender checks your credit report as part of their decision-making for extending credit or lending money. They can come from any applications for credit cards, car loans, mortgages or refinances, or other requests. Luckily, many card-issuing institutions have pre-qualification tools that trigger a soft-pull, which does not affect your credit and can give you a better indication on whether you may be approved for a specific card.
Like anyone applying for a new credit card, approval may be difficult if you haven’t managed these five credit factors well enough to maintain a reasonable credit score. While the categories remain the same for stay-at-home parents, the key difference is income. Whether you’re a full-time stay-at-home parent or have a small side hustle, you might worry that your income isn’t sufficient to make creditors comfortable. However, you may be surprised to learn what legitimately qualifies as income for credit card applications.
The Key Difference: Income
What Sets Stay-at-Home Parents Apart?
The primary distinction for stay-at-home parents applying for a credit card is income—or more specifically, the lack of consistent, substantial, or personal income. Many stay-at-home parents worry that not earning a regular paycheck will make it difficult to get approved for a credit card.
Fortunately, in 2009, the Consumer Financial Protection Bureau (CFPB) introduced an amendment to the Truth in Lending Act called the Credit Card Accountability, Responsibility, and Disclosure (CARD) Act. This amendment ensures that credit card issuers must consider third-party income when evaluating applications from individuals aged 21 or older, as long as the applicant has reasonable access to that income.
This means stay-at-home parents can confidently include household income—such as a spouse’s earnings—on their credit card applications, opening the door to approval and the opportunity to earn valuable rewards.
You can read more about the CARD Act here.
What Counts as Income for Credit Card Applications
Sources of Income You Can Include
Lenders have varying definitions of income, but the following are generally accepted:
- Salary, Commission, and Tips
- Freelance and Side Hustle Income
- Investment Income (stocks, rental income)
- Retirement and Social Security Withdrawals
- Disability, Workers’ Compensation, and Government Benefits
- Child Support and Alimony
- Allowances, Gifts, Grants, and Scholarships
- Income from a Spouse or Partner
Make sure to accurately report your income according to your lenders requirements and be prepared to provide supporting documents, such as bank statements or tax returns, if requested.
Tips for Stay-at-Home Parents to Improve Credit Card Approval Odds
Strategies to Strengthen Your Application
Ensure your credit is strong
Use free credit tracking tools like Credit Karma or Experian to monitor where you stand. If your credit needs improvement, your first step should be to take measures to improve your credit health.
Use Pre-Qualification Tools
Many card-issuing institutions have pre-qualification tools that trigger a soft-pull on your credit report. A soft-pull does not affect your credit and can give you a better indication on whether you may be approved for a specific card.
Here are some of the pre-qualification tools:
American Express has an “Apply With Confidence” Feature. Even though there is not a tool to see which cards you may pre-qualify for, you can submit an application with American Express, learn whether you are approved or not, then make a decision on whether to accept (with no impact to your score).
Start with Existing Relationships
Apply for a card with a bank where you already have accounts that are in good standing. That could be checking and savings, loans, or other credit cards.
Leverage Household Income
Don’t overlook the income you have access to. By including household income, you can more accurately reflect your ability to repay credit card balances.
Choose the Right Credit Card
If you’re unsure how your household income will impact your credit card application, or if you’re concerned that the process might differ from traditional cards, the key is to start with a card that fits your unique situation.
My Personal Experience
Becoming a stay-at-home parent came with trade-offs. We started saving on convenience costs like takeout and Amazon purchases, but we had to be more intentional with our budget. Still, we were committed to making at least one family trip happen each year, even if it required more effort to save.
For years, we had used credit cards for everyday expenses, paying them off monthly and earning cash back we used for holiday savings. Then we discovered sign-up bonuses—strategically opening a few cards earned us hundreds in extra rewards. But the real game-changer? Transferable points! By choosing the right cards, earning their bonuses, and learning how to transfer points wisely, we turned a few hundred dollars in rewards into thousands of dollars in free travel—all without increasing our spending.
This didn’t happen overnight, and that’s the key: start where you’re comfortable, learn as you go, and soon, you’ll be traveling more for less—without sacrificing financial responsibility.
Since becoming a stay-at-home parent, I’ve successfully applied for and been approved for several credit cards. I’ve always been transparent in my applications and have never encountered any income issues with approvals.
The Fundamental Process for Earning Travel Rewards
- Monitor Your Credit
Regularly check your credit score to stay on top of your credit health. Tools like Experian offer free access to your credit report and help you monitor key factors. - Obtain a Reasonable Score
Focus on achieving a credit score that makes you eligible for the best rewards cards, typically FICO 670 or higher. This includes paying bills on time, keeping credit utilization low, and avoiding too many hard inquiries. - Get Used to Paying Off Your Credit Card Monthly
Develop the habit of paying off your card in full each month to avoid interest charges and keep your rewards working for you. - Start Earning Rewards
Apply for a rewards card that fits your lifestyle and begin earning valuable points with your everyday spending. - Keep Going
Continue to optimize your rewards strategy by learning about new cards, maximizing points, and redeeming them for free or discounted travel.
Packing It Up: The Journey Continues, One Reward at a Time
Stay-at-home parents face their own unique challenges. Building a strong credit foundation and earning travel rewards shouldn’t be one of them. With the right strategy and a little patience, you can unlock travel opportunities for your family without breaking the bank. The journey continues—one reward at a time!
Where are you in Your Journey? Let me know in the comments!
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