Reply
New Contributor
Blurbz
Posts: 115
Registered: ‎03-14-2013
0

Why so many cards?

I don't mean to be rude or to sound terribly uninformed, but I can't figure out why so many people on this board have so many cards.  I know some "collect" them: different  banks, different features, a nice mix of rewards, etc. And I guess I get that--at least the rewards.

 

For rebuilding/building credit, though, isn't one or two enough if you use them responsibly, pif, and make sure you're at < 10% when the statements cut?  I'm just confused when I see peoples' signatures and they have a ton of store cards with $300 credit limits and sub-600 credit.  Is that only good because it helps keep your util rates down?

 

What are the fico-score benefits to having so many cards?  

New Member
shyeviolett
Posts: 32
Registered: ‎03-07-2013
0

Re: Why so many cards?

A few of them are for rewards, the others are mostly to increase my available credit and my score. 

 

And, I just like to apply. :smileyembarrassed:

Valued Contributor
jsickz32
Posts: 1,987
Registered: ‎06-25-2012
0

Re: Why so many cards?

<-------member of the too many accounts club
Amex BCE (2500) / Amex SPG (4000) / Amex GoldPR / Merrill+ Visa siggy (5000) / BofA Amex (6000) / Bofa cash rewards (5000) / BofA Privileges Cash Rewards (5000) / Citi Forward (4400) / Citi DP (2000) / Chase Freedom (4000) / Chase CSP (5000) / Chase Hyatt (5000) / Discover IT (1700) / FNBO AMEX (3600) / NFCU cashRewards Visa signature (15000) / NFCU Flagship Visa signature (12500) / NFCU Navcheck (5000) / Nordstrom (500) / MetroCU Visa Elite (5000) / Walmart (4500) / Kays Jewerels (6600) / Kohls (300) / Macys Platinum (2500) / DCU platinum Visa (17500) / Citizens bank cash back (1100) / Bill Me Later (1631) / PayPal Smart connect (2200) / BestBuy store card (2000)
Valued Contributor
navigatethis12
Posts: 1,954
Registered: ‎01-24-2012
0

Re: Why so many cards?

[ Edited ]

Last year I opened many accounts because I only previously had two and wanted to build credit now while I am young. I think having and maintaining multiple trade lines as opposed to just one or two looks better on a manual review. I had high 700s when I only had the two cards, so I don't know if there is much of a score benefit to having many cards.

 

The cards I do have most have decent limits that get used from time to time depending on the rewards or if I want 30 of float for business use. I only have two store cards with a 3000 and 10000 limit so they are worth it. I guess when people have ruined their credit they will take what they can get so multiple 300 limits may be a huge thing for them.

 


shyeviolett wrote:

A few of them are for rewards, the others are mostly to increase my available credit and my score. 

 

And, I just like to apply. :smileyembarrassed:


 Did the limit on that PNC card start at 7500 or did you ask for an increase on it? I was going to request one from them from 5200 but I couldn't find any information about what they like to see before granting one.

Contributor
teddybearkelli1
Posts: 109
Registered: ‎11-06-2012
0

Re: Why so many cards?

[ Edited ]

I have a lot of cards, but don't believe they are "too many" if you know how to manage them well. I keep everything in Quicken and manage them quite proficiently that way. I rotate monthly, or depending on the type of usage/rewards. I have a good mixture because of the rewards and/or discounts I can get from using each one, as well as it keeps the utilization down - though not a big factor. I've closed 7 accounts just this year, removing the subprime cards that Ive had over a decade, for some unknow reason to me. :smileyhappy: I PIF 95% of them, float a small balance *under 8%* on 2-3 monthly. I believe that you should be able to manage what you have, whether it is 2 cards or 30. If you can't manage them well, then you need to decrease the number of cards you have regardless of what that magical number is.

FICO scores: 790 (EQ) 786 (EX) 796 (TU) |
My Wallet:NFCU CR Visa 24k, AMEX Delta Gd 20k, Walmart Discvr 12k, USAA Plat RA MC 13k, BECU Visa 10k, NFCU NR MC 5k, Sams Discvr 10k, Sportsmans Visa 10k, WF Plat Visa 10k, Paypal Extra MC 10k, BofA Fraternity MC 10k, Sams Credit 10k, USAA World MC 9k, Military Star 8.2k |BOA CR 8k |AMEX Evrdy 8k |Lowes 7.3k | Chase Military Star MC 6k, JCPenneys 5k, Discover IT 5k , Gymboree Visa 4.5k, Sears MC 4k, TJX MC 3.5k, ToysRUS Card 3.5k, Chase Amazon Visa 3k, Home Depot 3k, Citibank Simplicity 4.5k, Amazon Store 2.5k, Fred Meyers Visa 2.5k, Target 2k, Kohls 2k, ITunes Visa 2k, Macys 2k, Barclays Visa 1.7k, Vystar CU Visa 1.5k
Established Contributor
Pilotdude
Posts: 955
Registered: ‎02-02-2013
0

Re: Why so many cards?

[ Edited ]


Cause we are all NUTS!!

 

:smileyhappy:


NFCU #1 Fan!! NO MOAR APPS TIL 10/13 Minimum!!
TU -746, EX - 721, EQ -745
Cards:NFCU Flag Visa Sig $10000, CSP $8500, AMEX BCP $2000 Freedom $3500, Disc IT $5000, Cap 1 Green $2100, Credit 1 CLOSED! AU on Amex Green, Discover $2000, Cap One Plat $1000
Established Contributor
InvincibleSummer3
Posts: 640
Registered: ‎11-20-2012
0

Re: Why so many cards?

Over on the Rebuilding forum, it's said that 3-5 are needed for rebuilding.
Senior Contributor
BungalowMo
Posts: 4,243
Registered: ‎05-01-2008
0

Re: Why so many cards?

I have 12 active cards.  Only 5 are ones I use.  Total limits...110k

 

Paying down balances.  Only owe on about 4.



Starting Score: 07/2011 TU 732 - EQ 717 - EX 702
Current Score: 06/2014 TU 739 - EQ '08 709 - EX 721
Goal Score: 850

Bury me in the garden...last app 06.18.14

Valued Member
Supawest
Posts: 30
Registered: ‎02-08-2013
0

Re: Why so many cards?

Good question...Is it becasue it adds a little color and splash to the signature line?  :smileytongue:


Starting score 656 EQ (Nov'12 Lender Pull)Current Score: EX 690 EQ 734 TU 709
Goal Score: 760 across (Gardening since: 03/22/2013)

Regular Contributor
bluedog1
Posts: 120
Registered: ‎03-14-2013
0

Re: Why so many cards?

I've read that 3-5 is optimal for FICO scoring...more than 6 may actually hurt your score. There are a couple benefits I see from having a lot of cards. If you are just starting out and getting low limits then having a lot of cards can help with utilization. Adding new cards in the future won't hurt your AAoA as much since you have a lot of older accounts to buffer the age.


myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Click to Verify - This site chose VeriSign SSL for secure e-commerce and confidential communications.
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+
}