Will my citizenship application be affected if I was arrested for credit card fraud?

Asking this question after filing and providing DHS information about your criminal past seems like shutting the gates after the horse has bolted the barn. And at this time it might be too late. Whether your naturalization case will or will not be denied is now up to DHS. They will let you know in good time. But the more serious issue now is depending on exactly what your criminal file says. Almost all fraud convictions are deportable misdemeanors offenses which will render a foreigner deportable, and in some cases may even be aggravated felony for which there is little or no relief from removal. So, I am compelled to ask, could you not have asked this question before handing over to CIS your own criminal record and secondly, exactly what do you think CIS will do once you gave it to them? It might or might not be too late for you, but you should hire an experienced immigration attorney...right away .

Credit card fraud is an offense that not only makes you ineligible for citizenship but also makes you subject to deportation. Filing an N-400 application was a mistake. Now, you need an attorney who practices in criminal defense AND immigration law. It is in your interests to find an attorney as soon as possible because it will be harder to do if you will be taken into custody. Meanwhile, don't let anyone convince you that it is "in your best interests" to take a voluntary departure from the U.S.: your case might be successfully defended, don't give it up - at least, not until to talk to a specialist.

It sounds like your case was rejected by the D.A. or prosecuting attorney. If you have no conviction, you should not have any problems becoming a citizen.

You have to be a person of good moral character for at least 5 years, 3 years if you are applying on the basis of a marriage to a US citizen, immediately before filing for naturalization. That means you cannot have any convictions for crimes of moral turpitude or periods of probation during that time. If you were found guilty or plead guilty, even if you were given deferred adjudication and the charges were later dismissed, USCIS will most likely deny the application. Depending on the specifics of your case, there is a risk that your case may be referred to ICE for removal proceedings.