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Senior Contributor
Posts: 6,279
Registered: ‎08-16-2012
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Re: Why so many cards?

I think I read somewhere that people with 8 or more credit are more likely to file bankruptcy...

Otoh, all comes back to responsibility.... If you keep util low... And pay yo billzz, you will be aight.

;-)
Marriott PR$25k | BCE $24.5K |BankAmericard Visa $25k| BOA Better Bal $17.5k |Wmt Discover $12.5k | BR Visa $17.5k | Amex Delta Gold $10k | Discover IT $10k | Paypal Extras MC $15k | Amazon Store $10k|Smile Gen $7.25k | Dillard's $10k | West Elm $4k| Express $3.05K | Mypoints.com Visa $4.5k | Freedom Visa $1k| Amex Surpass $1k
New Contributor
Posts: 74
Registered: ‎03-07-2013
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Re: Why so many cards?

It's not about the cards.  It's about the game - the game between you and the lenders.

 

And that's all it is.

Age: 20 | AAoA: 1.1 Years | TU Fico: 725 | EX Fico: 719 | EQ Fico: 693
Last App: 12/09/2013
Valued Contributor
Posts: 1,486
Registered: ‎08-30-2011
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Re: Why so many cards?

[ Edited ]

Blurbz wrote:

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?  


Yes, you are absolutely right.  There's really no reason for someone beginning their credit adventure to have a bunch of cards.  From what I've read, the optimum number is 3-4 cards.

 

That said, I'm one of those with a bunch of cards.  I currently have 16 cards.  Each has a specific purpose.  AND I'm convinced that having the cards I have, and with the age of accounts that I have, were a major contributor to reaching the 800 club.  Could I have done it without credit cards?  Probably.  But also probably not as rapidly. 

 

Having credit is one thing.  Using it responsibly is quite another.  This is where some people get in trouble.  It's a matter of management of the accounts.

 

Diners Club Premier MasterCard $50K / AMEX Gold NPSL / AMEX Zync NPSL / AMEX Blue Cash Preferred $14K / Bank of America Cash Rewards Signature Visa $15K / Merrill Lynch Plus Signature Visa $15K / Wells Fargo Propel 365 $15K / Chase Sapphire Preferred Signature Visa $10K / J P Morgan Select Signature Visa $10.5K / CITI Diamond Preferred MasterCard $13.2K / Discover IT $10.5K / IberiaBank Select Visa $8K / 1st Command Bank Platinum Visa $7.5K // Home Depot $9.7K / Lowes $10K

EX = 818 EQ = 823 TU = 822 as of 07/15
Blogger
Posts: 3,360
Registered: ‎10-19-2012
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Re: Why so many cards?


thom02099 wrote:

Blurbz wrote:

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?  


  I'm convinced that having the cards I have, and with the age of accounts that I have, were a major contributor to reaching the 800 club.  Could I have done it without credit cards?  Probably.  But also probably not as rapidly. 

 


Do you know a specific reason why having more cards would help your credit score?

 

Senior Contributor
Posts: 6,279
Registered: ‎08-16-2012
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Re: Why so many cards?

It's bc the more positive tradelines you have, the stronger your credit profile...
+1@command! That's right!
Marriott PR$25k | BCE $24.5K |BankAmericard Visa $25k| BOA Better Bal $17.5k |Wmt Discover $12.5k | BR Visa $17.5k | Amex Delta Gold $10k | Discover IT $10k | Paypal Extras MC $15k | Amazon Store $10k|Smile Gen $7.25k | Dillard's $10k | West Elm $4k| Express $3.05K | Mypoints.com Visa $4.5k | Freedom Visa $1k| Amex Surpass $1k
Valued Contributor
Posts: 1,359
Registered: ‎02-07-2010
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Re: Why so many cards?


Blurbz wrote:

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?  


you should check my link. i currently have 17 cards.

EX BankCard 8 FICO 820 (250-900) 04/08/14
TU FICO 806 (350-850) 04/10/14
EX VT 3.0 805 (300-850) TU VT 2.0 891 (501-990)
Credit.com score 798 (300 - 850) TU transrisk 772
card line up here: http://ficoforums.myfico.com/t5/Credit-Cards/How-Many-Credit-Cards-Do-YOU-have/m-p/1034512#M290859
Blogger
Posts: 3,360
Registered: ‎10-19-2012
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Re: Why so many cards?


youngandcreditwrthy wrote:
It's bc the more positive tradelines you have, the stronger your credit profile...
+1@command! That's right!

And why is that, from a FICO scoring perspective?

 

Valued Contributor
Posts: 3,099
Registered: ‎10-02-2012
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Re: Why so many cards?


HiLine wrote:

youngandcreditwrthy wrote:
It's bc the more positive tradelines you have, the stronger your credit profile...
+1@command! That's right!

And why is that, from a FICO scoring perspective?

 


Comes down to an ability to handle and manage credit responsibly.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    


     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Blogger
Posts: 3,360
Registered: ‎10-19-2012
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Re: Why so many cards?

And why is that, from a FICO scoring perspective?
Blogger
Posts: 3,360
Registered: ‎10-19-2012
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Re: Why so many cards?

I mean, how does that directly translate to a higher Fico score? Which variable in the scoring formula does the higher number of credit cards help?
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