topic Re: I regret opening so many credit cards in Credit Cards

I regret opening so many credit cards

youdontkillmoney — Sat, 13 Jun 2015 13:30:20 GMT

I'm down to 4 credit cards (see signature line below). Looking back, I had about 23 credit cards, but the fact that I cancelled all but 4 made me realize I made a mistake opening them in the first place if I ended up cancelling them. This fact, made me come to this realization. Fortunately, my FICO is strong though. Just wasted time and energy dealig with all those cards when I didn't need them. It was partly collecting, to see if I can get them, but also trying to get one of each kind I wanted for the uniqueness factor, such as JCB, PenFed, etc.

Re: I regret opening so many credit cards

Anonymous — Sat, 13 Jun 2015 13:36:31 GMT

I see you kept the two hardest cards to get-- Simmons Bank and Iberia

Re: I regret opening so many credit cards

kdm31091 — Sat, 13 Jun 2015 13:36:49 GMT

@youdontkillmoney wrote:
I'm down to 4 credit cards (see signature line below). Looking back, I had about 23 credit cards, but the fact that I cancelled all but 4 made me realize I made a mistake opening them in the first place if I ended up cancelling them. This fact, made me come to this realization. Fortunately, my FICO is strong though. Just wasted time and energy dealig with all those cards when I didn't need them. It was partly collecting, to see if I can get them, but also trying to get one of each kind I wanted for the uniqueness factor, such as JCB, PenFed, etc.

For some people this site is super beneficial in their credit journey (really, for most people).

Unfortunately for others, it ends up where they just are impulse apping because of reading approvals and such on this site. You can end up with a bunch of cards you don't really want/need. It's good you were able to realize that. Some people agree with "collecting cards" and that's fine, but it's not my thing. Every new account remains for 10 years on your report and every inq for 2. Not something I want to get in the habit of going overboard with.

Kudos to you for realizing you may have gone too far. Now you can manage your cards much more easily.

Re: I regret opening so many credit cards

bobbay — Sat, 13 Jun 2015 13:37:13 GMT

It's done and out of your system. Nice scores and diversification with whats left.

Re: I regret opening so many credit cards

chalupaman — Sat, 13 Jun 2015 13:38:23 GMT

Do what makes you happiest. Great to hear you've gotten a lot out of your decision.

Re: I regret opening so many credit cards

core — Sat, 13 Jun 2015 13:38:25 GMT

youdontkillmoney <--- Very clever forum handle. Repaying a debt is quite literally "killing money".

Re: I regret opening so many credit cards

redpat — Sat, 13 Jun 2015 13:42:38 GMT

Kept mine to three.

It looks like an arms race on these forums sometimes.

Re: I regret opening so many credit cards

I-think-I-can — Sat, 13 Jun 2015 13:40:54 GMT

I understand how you feel! I have regretted getting a few of my cards. I got many of them in Nov and December before I found the forum and when I found myself being approved after what seemed like eons of getting only denials. I am nowhere near your FICO level but so far the damage is recoverable, thank goodness. I will definitely make more informed decisions going forward!

Re: I regret opening so many credit cards

youdontkillmoney — Sat, 13 Jun 2015 13:42:20 GMT

@core wrote:
youdontkillmoney <--- Very clever forum handle. Repaying a debt is quite literally "killing money".

^^^^^^^^

Thanks everyone for positive comments.

core....I agree with you! But if someone ends up in debt, then......Not Repaying debt fast enough is "killing money" since by repaying say 1 year early, you just "saved" that 1 year's worth of interest at say, 10%...where else in the market will you get a guaranteed "return" of 10%.

Re: I regret opening so many credit cards

core — Sat, 13 Jun 2015 13:47:29 GMT

@youdontkillmoney wrote:
But if someone ends up in debt, then......Not Repaying debt fast enough is "killing money" since by repaying say 1 year early, you just "saved" that 1 year's worth of interest at say, 10%...where else in the market will you get a guaranteed "return" of 10%.

I was (as you may have suspected) referring to the money being destroyed, removed from the world money supply. Since debt was what created the money in the first place, and when the debt disappears so does the money. Without debt, no money could exist... not hardly a fraction of what is out there now anyway. But certainly someone should repay debt as fast as possible. That too.

Re: I regret opening so many credit cards

Anonymous — Sat, 13 Jun 2015 13:52:42 GMT

I know where you're coming from. I was so deep in debt, I gave up even trying to apply for new cards. When I got them paid off and free of debt, I started applying for cards. I felt guilty and as soon as two of them arrived (Double Cash and USAA) I called and cancelled them and never activated. Then the guilt wore off and I apped for several other cards that I did keep. There are a couple on my list to dispose of in a few months. I didn't need the Amazon Chase and Barclay Ring. Then I found myFICO and learned how stupid I was and now gardening to let things get better again.

Congratulations for getting down to 4 cards like that. I will always PIF from now on as I never want to get back to where I was up until the end of 2014.

Re: I regret opening so many credit cards

redpat — Sat, 13 Jun 2015 13:54:42 GMT

@core wrote:
@youdontkillmoney wrote:
But if someone ends up in debt, then......Not Repaying debt fast enough is "killing money" since by repaying say 1 year early, you just "saved" that 1 year's worth of interest at say, 10%...where else in the market will you get a guaranteed "return" of 10%.
I was (as you may have suspected) referring to the money being destroyed, removed from the world money supply. Since debt was what created the money in the first place, and when the debt disappears so does the money. Without debt, no money could exist... not hardly a fraction of what is out there now anyway. But certainly someone should repay debt as fast as possible. That too.

Um, then how would I pay in cash with. I still use that stuff called "cash", which is money. At least that's how Yogi Barra would put it....

Re: I regret opening so many credit cards

youdontkillmoney — Sat, 13 Jun 2015 14:03:07 GMT

@Vulcan1600 wrote:
I know where you're coming from. I was so deep in debt, I gave up even trying to apply for new cards. When I got them paid off and free of debt, I started applying for cards. I felt guilty and as soon as two of them arrived (Double Cash and USAA) I called and cancelled them and never activated. Then the guilt wore off and I apped for several other cards that I did keep. There are a couple on my list to dispose of in a few months. I didn't need the Amazon Chase and Barclay Ring. Then I found myFICO and learned how stupid I was and now gardening to let things get better again.

Congratulations for getting down to 4 cards like that. I will always PIF from now on as I never want to get back to where I was up until the end of 2014.

+1 outstanding.

Re: I regret opening so many credit cards

core — Sat, 13 Jun 2015 14:04:47 GMT

@redpat wrote:
Um, then how would I pay in cash with. I still use that stuff called "cash", which is money. At least that's how Yogi Barra would put it....

The bank ordered that cash from the Federal Reserve. And where do you think the bank got the "money" to pay for it? Somebody's promise to pay is what created it. Every dollar in your pocket represents somebody's debt. Not your debt, but somebody's, somewhere.

Re: I regret opening so many credit cards

redpat — Sat, 13 Jun 2015 14:23:12 GMT

@core wrote:
@redpat wrote:
Um, then how would I pay in cash with. I still use that stuff called "cash", which is money. At least that's how YogiBarra would put it....
The bank ordered that cash from the Federal Reserve. And where do you think the bank got the "money" to pay for it? Somebody's promise to pay is what created it. Every dollar in your pocket represents somebody's debt. Not your debt, but somebody's, somewhere.

I thought I would never get into a monetary policy discussion on these forums. Money supply will always fluctuate, as does inflation. Money will always exist one way or another. Banks leverage their balance sheet to make money and the economy needs debt for growth. One can always leverage too much and that is when businesses or individuals default. Sometimes even Countries.

Re: I regret opening so many credit cards

bobbay — Sat, 13 Jun 2015 14:25:37 GMT

@redpat wrote:
Kept mine to three.

It looks like an arms race on these forums sometimes.

It is

Re: I regret opening so many credit cards

bobbay — Sat, 13 Jun 2015 14:29:47 GMT

@core wrote:
@redpat wrote:
Um, then how would I pay in cash with. I still use that stuff called "cash", which is money. At least that's how Yogi Barra would put it....
The bank ordered that cash from the Federal Reserve. And where do you think the bank got the "money" to pay for it? Somebody's promise to pay is what created it. Every dollar in your pocket represents somebody's debt. Not your debt, but somebody's, somewhere.

Not many understand this. It is a form of bondage/servitude

Re: I regret opening so many credit cards

Anonymous — Sat, 13 Jun 2015 14:31:08 GMT

I was pondering this very thing this morning. How do forum members decide when he/she has the right amount of cards and credit?

Re: I regret opening so many credit cards

Anonymous — Sat, 13 Jun 2015 14:36:06 GMT

@Anonymous wrote:
I was pondering this very thing this morning. How do forum members decide when he/she has the right amount of cards and credit?

Peer pressure of course! Like the rest of life.

If this and similar forums didn't exist, I suspect many would have a small fraction of the cards they have now.

Re: I regret opening so many credit cards

Anonymous — Sat, 13 Jun 2015 14:38:06 GMT

I just opened a new thread on this topic. I hope tons of forum members share their insight.