HDFC | Want to know what "approved in principle subject to Internal Checks" means?

[ULTRA-MAGNUS]

Your HDFC Bank Credit Card Application No. *** is approved in principle subject to Internal Checks.
Many of you must have had received such messages. Does it actually means Approval or is there more to it?

Today on speaking with a senior customer care executive at length about one of my card applications, I came to know the meaning of this message. I think I should share my information with our lovely community here!

 

[ULTRA-MAGNUS]

Any credit card application goes through 2 major steps of scruitny.

The first step is completely automated where your data is fed to a computer and based on the rules and guidelines set by the bank eg: min monthly salary, credit score, age, employer name, profession, documents uploaded, pre-existing credit cards, net relationship value etc.. the system gives an output of acceptance as YES / NO.

If the output is NO, your application is straightway declined and then mostly (it’s unfortunate) the reason is not communicated. You will however receive the message about straight decline “Your application do not comply with our internal policies” and if you are curious, you can to call customer care to know the exact reason for decline.

If the system approves your application, you are likely to receive the message “in-principle approval”.

Now the second step is a manual human scrutiny. Here the underwriting team further looks at the credit score and details mentioned in it for any anamolies such as late payments, missed EMI, amount of secured and unsecured credits and many more fields like net relationship value, existing loan, credit card transaction history, savings account category, transaction history etc to decide if their credit card is going into the right hands + if that person can help them generate some revenue based on his expenses and card utilization.

Once they are satisfied and don’t have a single inch of doubt on your application, they approve it and your credit card is processed taking another 7 days to reach you.

 

[black]

Ideally what's the timeline from"in principle approval" to actual approval

 

[ULTRA-MAGNUS]

Ideally what's the timeline from"in principle approval" to actual approval

Usually 1 week.

 

[Sarfaraz]

it's been 1 week and the status says INProcess and I got message Approved in principle subject to internal checks. What can we do now?

 

[Phonix_YT]

I applied on February 27th through the C2C process for HDFC Millennium and received my application ID on March 2nd; since then, my application status is currently showing "in process.

 

[ayushsar25]

Any credit card application goes through 2 major steps of scruitny.

The first step is completely automated where your data is fed to a computer and based on the rules and guidelines set by the bank eg: min monthly salary, credit score, age, employer name, profession, documents uploaded, pre-existing credit cards, net relationship value etc.. the system gives an output of acceptance as YES / NO.

If the output is NO, your application is straightway declined and then mostly (it’s unfortunate) the reason is not communicated. You will however receive the message about straight decline “Your application do not comply with our internal policies” and if you are curious, you can to call customer care to know the exact reason for decline.

If the system approves your application, you are likely to receive the message “in-principle approval”.

Now the second step is a manual human scrutiny. Here the underwriting team further looks at the credit score and details mentioned in it for any anamolies such as late payments, missed EMI, amount of secured and unsecured credits and many more fields like net relationship value, existing loan, credit card transaction history, savings account category, transaction history etc to decide if their credit card is going into the right hands + if that person can help them generate some revenue based on his expenses and card utilization.

Once they are satisfied and don’t have a single inch of doubt on your application, they approve it and your credit card is processed taking another 7 days to reach you.

I received text 'approved in principle' but there is no update can you please tell me the next step because there is no update from there side i tweeted about this but a service manager is saying you need to fill a fresh form due to incomplete application and then I talked to my agent he said your card got approved you need to wait for verification call

 

[Makrand]

@ULTRA-MAGNUS

Usually 1 week.

Does receipt of this message "approved in principle subject to internal checks" mean that the address verification has been done positive as still no one has yet visited for address verification.

 

[KingAAR]

can I know which card is it by the application number... some how I have an application number which I dont remember applying for ...

 

[vanshatresh]

It happened to me as well. In February I applied for the HDFC Bank credit card ( I don't know which variant it was, because the agents called me about it), but it was rejected for reasons unknown. Now, recently, to be exact on 9th of April they called me again and told me that based on some internal checks HDFC bank is "rEaSseSSing" my application. Now, all i had to do was to give my Aadhaar and PAN to them and they specifically asked me to tell the bank employees that I have submitted these documents physically (again for reasons unknown), so I told them exactly that. On 12th I got the approved in principle message and then today I checked the status online and it shows DECLINE. I am now just fed up of these agents and HDFC bank !!

On a separate note, what is up with the bank's tracking system. It always shows details not found but after multiple entries it starts to show the data normally !?