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msmith127
Posts: 6
Registered: ‎09-04-2010
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Help or hurt?

Have a Cap 1 card (several years) $750K limit. Never late, rarely ever over 1/2 credit limit during any given month. Just got AMEX gold card, no limit set. Good move or bad move for FICO score? Advice appreciated.

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haulingthescoreup
Posts: 28,098
Registered: ‎04-01-2007
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Re: Help or hurt?

Hi, welcome to the forums!

 

If all you had for revolving credit (CC, line of credit) was the Cap One card, the Gold will help. The FICO scoring formulas (one for each credit bureau) "like" to see 2-3 open revolving accounts. Consumers can get into a lot more trouble with revolving credit than with installment credit, so proper use of CC's is rewarded in FICO scores.

 

Since it's a charge card, it will be ignored for calculating revolving utilization or "util", which is a big driver of scores. If you ever find that you need to get a certain FICO score (for instance, for a mortgage), you might want to read here to find out how to time your CC payment for maximum points. A second revolving CC wouldn't hurt, either, if it reports a CL. Stay away from Visa Signature or Mastercard World cards if this is so --they report differently from standard Visas and MC's.

 

It's a weird credit world these days...

* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit?
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007
New Member
msmith127
Posts: 6
Registered: ‎09-04-2010
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Re: Help or hurt?

Cap 1 was all I had. If it helps score I would be willing to take another cc. What would be best?

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haulingthescoreup
Posts: 28,098
Registered: ‎04-01-2007
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Re: Help or hurt?

A lot of it depends on what you want from a credit card, and how and where you plan to use it. For instance, do you want rewards cards, and if so, in what area, and with points or with cash back, and on and on.

 

One of the simplest sources is your local credit union, or a local bank (as opposed to a local branch of a national bank.) Credit unions especially are geared to working with those who don't have a lot of credit history, who are often too scary to major lenders to take a chance on.

 

How long have you had credit, and do you have any negatives reporting (lates, collections, judgments, etc)? These factors affect which lenders will be interested in you.

 

If you've pulled a FICO score (as opposed to a FAKO from Experian, 3-in-1 credit monitoring services, and so forth), what was your score, and was it Equifax or TransUnion? You can't buy your Experian FICO any more. :smileymad: If you still can access the score report, click the second tab titled "Understanding Your Score," and look at the negative factors on the left. What are they, in order? These factors are what are affecting your scores. The positive ones on the right are more warm-fuzzies. Alas, it's the negatives that matter.

* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit?
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007
New Member
msmith127
Posts: 6
Registered: ‎09-04-2010
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Re: Help or hurt?

Equifax and Transunion both 720+. Paying down an IRS debt that has been posted on report for a couple of years. Would like points from any cards. I've had credit for a long time and it"s a big plus on both Equifax and Transunion understanding your score. Nothing here on Experian.

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janice12
Posts: 22
Registered: ‎09-03-2010
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Re: Help or hurt?

 


msmith127 wrote:

Have a Cap 1 card (several years) $750K limit. Never late, rarely ever over 1/2 credit limit during any given month. Just got AMEX gold card, no limit set. Good move or bad move for FICO score? Advice appreciated.


 

750K limit? 750,000?:smileysurprised:

 

Senior Contributor
Wolf3
Posts: 3,197
Registered: ‎01-24-2010
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Re: Help or hurt?

 


janice12 wrote:

 


msmith127 wrote:

Have a Cap 1 card (several years) $750K limit. Never late, rarely ever over 1/2 credit limit during any given month. Just got AMEX gold card, no limit set. Good move or bad move for FICO score? Advice appreciated.


 

750K limit? 750,000?:smileysurprised:

 


They couldn't give you a million?

 

Established Contributor
Ulan
Posts: 790
Registered: ‎09-09-2008
0

Re: Help or hurt?

 


Wolf3 wrote:

 


janice12 wrote:

 


msmith127 wrote:

Have a Cap 1 card (several years) $750K limit. Never late, rarely ever over 1/2 credit limit during any given month. Just got AMEX gold card, no limit set. Good move or bad move for FICO score? Advice appreciated.


 

750K limit? 750,000?:smileysurprised:

 


They couldn't give you a million?

 


 

Cheapskates.

 

 

:smileyvery-happy:

Senior Contributor
Wolf3
Posts: 3,197
Registered: ‎01-24-2010
0

Re: Help or hurt?

 


msmith127 wrote:

Equifax and Transunion both 720+. Paying down an IRS debt that has been posted on report for a couple of years. Would like points from any cards. I've had credit for a long time and it"s a big plus on both Equifax and Transunion understanding your score. Nothing here on Experian.


 

  Long term you should have 3 or more CC for best FICO score.  However, your score will likely drop a little when you add a new card.  

 

  Most recomend having more than 1 cc anyway.   If you one CC is lost or stolen or cancelled,  you might find yourself in a difficult situation with no backup.

.  

Senior Contributor
O6
Posts: 3,626
Registered: ‎10-13-2009
0

Re: Help or hurt?


Ulan wrote:

 


Wolf3 wrote:

 


janice12 wrote:

 


msmith127 wrote:

Have a Cap 1 card (several years) $750K limit. Never late, rarely ever over 1/2 credit limit during any given month. Just got AMEX gold card, no limit set. Good move or bad move for FICO score? Advice appreciated.


 

750K limit? 750,000?:smileysurprised:

 


They couldn't give you a million?

 


 

Cheapskates.

 

 

:smileyvery-happy:


+1  :smileyhappy:

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