Why Foreigners Get Rejected for Credit Cards in Japan

Many foreigners in Japan are surprised when their credit card application gets rejected—especially if they have a stable job, a good salary, and no debt. In reality, Japan’s credit screening system works very differently from what most people are used to.

This article explains the real reasons foreigners get rejected for credit cards in Japan, using realistic anonymized cases and practical insights so you can avoid the same mistakes.

Credit Card Screening in Japan: The Big Picture

Japanese credit card companies are extremely risk-averse. Their goal is not to find good customers, but to avoid any chance of default or sudden disappearance.

For foreigners, this often means being evaluated not just as an individual, but as a temporary resident—even if you plan to stay long-term.

1. Short Visa Duration Is the #1 Reason

If your residence card shows less than 1 year remaining, many issuers will automatically reject you.

Anonymized case (Tokyo, marketing professional):
A foreign employee earning ¥5.8M/year was rejected twice. After renewing her visa from 1 year to 3 years, the same card was approved without any change in income or job.

Why it matters:
Credit card companies worry you may leave Japan before paying.

2. No Japanese Credit History (Not Your Home Country History)

Japan does not automatically recognize overseas credit history.

Even if you:

• Had multiple credit cards abroad

• Owned property overseas

• Had perfect repayment history

…it usually does not count.

From the issuer’s perspective, you are starting at zero.

3. Employment Type Matters More Than Salary

A common misconception is that higher salary guarantees approval.

In Japan:

• Full-time permanent employee (正社員) → strong

• Contract employee (契約社員) → weaker

• Freelance / self-employed → high risk

• Overseas employer → often rejected

Anonymized case (Osaka, IT contractor):
A freelancer earning over ¥8M/year was rejected three times. After switching to a Japanese employer on a permanent contract, approval came within 2 months.

4. Name Mismatch Issues (Surprisingly Common)

If your name is written differently across:

• Residence card

• Bank account

• Application form

• Katakana spelling

…the system may flag you as inconsistent.

Even minor differences (middle names, spacing, hyphens) can trigger rejection.

5. Applying Too Soon After Arrival

Most issuers prefer to see:

• At least 6 months of residence

• Stable address

• Continuous employment

Applying within your first 1–3 months often results in silent rejection.

6. Multiple Applications in a Short Time

Each credit card application is recorded.

Applying for:

• 3–4 cards within a few weeks
  signals financial desperation in the Japanese system.

This can lead to repeated rejections—even for cards that normally approve foreigners.

7. Overseas Income or Foreign Bank Dependence

If your income:

• Comes from outside Japan

• Is paid into a foreign bank

• Is irregular or hard to verify

…it raises concerns about traceability and enforcement.

Japanese issuers strongly prefer:

• Japanese employer

• Japanese bank account

• Japan-based tax records

8. Past Missed Payments in Japan (Even Small Ones)

Missed or late payments for:

• Mobile phone installments

• Utility bills tied to installment plans

• Previous card payments

can quietly damage your credit profile.

Many foreigners are unaware that phone contracts build credit history in Japan.

Cards Foreigners Are Most Commonly Rejected From

• Premium JCB cards

• Department store cards

• Cards requiring permanent residence

• Airline co-branded cards (early stage)

These cards usually require an established domestic credit track record.

How to Reduce Rejection Risk (Actionable Steps)

1. Renew your visa before applying

2. Use the same name format everywhere

3. Start with no-fee, beginner-friendly cards

4. Apply only once every 2–3 months

5. Build history via phone installments or entry-level cards

6. Avoid listing overseas income unless required

The Most Important Thing to Remember

Rejection in Japan is not personal, and it does not mean you are unqualified.

It simply means:

“You don’t fit our risk model yet.”

Once you understand that model, approval becomes predictable.

Final Thoughts

Japan’s credit system rewards patience and stability, not income alone. Most foreigners who eventually get approved do so after aligning their visa length, employment type, and application timing.

If you’re rejected today, that does not mean “never”—it usually means “not yet.”