topic Re: Feeling like too much credit is available? in Credit Cards

Feeling like too much credit is available?

MoreInfo1 — Sun, 09 Aug 2015 18:43:06 GMT

Is this possible? After coming back to this wonderful community here at myfico, I have been on an apping rampage. I feel I have sufficient credit that I'm able to keep track of but I may be going out of control by apping for more. I have the following cards:

Wells Fargo $8000
Chase Freedom $2000 CL
Chase Slate $1000 CL
Discover IT $1500
NFCU cash rewards $12500 (new)
DCU $2900 (new)
Barclay RM $6100
AMEX ED $8500 (new)
Victorias Secret $900

but can't seem to decide if I should be closing out any (although I will be closing the Chase Slate after the 0% APR is over next year). Does anyone feel this struggle? How do those with so many cards manage/juggle it all on top of bills?

Re: Feeling like too much credit is available?

Anonymous — Sun, 09 Aug 2015 18:48:21 GMT

There have been a lot of discussions on this topic in this forum. I think unless you can transfer one card's CL to another, there is no point to close a card by yourself. Maybe just leave it there for a while and come back to use once for small stuffs to keep it alive.

Re: Feeling like too much credit is available?

Anonymous — Sun, 09 Aug 2015 18:58:49 GMT

Right now, you need to stop and let all your new accounts age. If the plan is to get another card next year then wait till that time and assess your needs. But don't close anything right now as you have already taken the hardpulls for them.

They credit limits also pad your utilization so just let them age and re-assess your need for them when the time comes for a new card.

Re: Feeling like too much credit is available?

Anonymous — Sun, 09 Aug 2015 20:00:47 GMT

Don't close any account, just don't use it. And keep the Slate for the free Fico score. It helps with your utilization.

Don't apply any more. There is a diminishing return with too many new cards. You hurt your AAOA, spook some insurers, and seem more of a credit risk.

Enjoy what you have gotten.

What are you scores now and what were they before you starting apping?

Re: Feeling like too much credit is available?

MoreInfo1 — Sun, 09 Aug 2015 21:14:41 GMT

I forgot, I also applied for and was approved recently for a Home Depot card with a 5k SL.

I will not be apping anymore. It doesn't seem that my scores have changed drastically but I really should stop before it does. My credit scores now are TU 728 (734 last month), EQ 703 (no change) and EX 699 (per HD letter, not sure what it is now). Currently, my oldest account is 12 years and AAOA had dropped to 5 yrs 10 mos.

I will likely reassess some time next year based on usefulness of each card. Even if there is no balance on the card, it is starting to feel like baggage. I guess this is how credit card remorse feels like...

Re: Feeling like too much credit is available?

Anonymous — Sun, 09 Aug 2015 22:15:44 GMT

You know the rule of thumb, NEVER close any accounts. It hurts your profile and takes away the padding you need to keep your utilization low and scores high should you need to make some large charges.

Just make some random small purchases on the cards you don't use much every 3-4 months.

Re: Feeling like too much credit is available?

Creditaddict — Sun, 09 Aug 2015 22:23:51 GMT

I'd recon HD to $25k (they will counter)

I would move the $1k Slate to Freedom and Close the slate.

consider the $15k checking line of credit with Navy too and then garden!

Re: Feeling like too much credit is available?

Anonymous — Mon, 10 Aug 2015 00:59:50 GMT

@Anonymous wrote:
You know the rule of thumb, NEVER close any accounts. It hurts your profile and takes away the padding you need to keep your utilization low and scores high should you need to make some large charges.

Just make some random small purchases on the cards you don't use much every 3-4 months.

If I never closed any accounts, I'd have over 100 and would not have been able to churn them. This is silly even for non-churners. Close what you don't use and don't need and focus on growing what you do use to reasonable limits for your spend. Buying unnecessary items to keep an account open is akin to paying an annual fee, And for what? So one can brag to their internet buddies about how they have 800K in store card limits but are still kicking around a $2,000 Chase Freedom.

Re: Feeling like too much credit is available?

Anonymous — Mon, 10 Aug 2015 01:07:57 GMT

Yup, I would prefer to have a few cards of high limit (over 10k easily each) than to have tons of cards because I'm afraid of what would happen if I close a card, or two, or ten.

I had a few store credit cards including victoria secret (whom I'm never opening no matter how many times they sneak that into the checkout process) because the clerk told me that it wasn't a "credit card"

Young and dumb.

I would go with what creditaddict said.

I would also pick out two or three cards you'd want in your wallet and than to keep the rest active just find a bill to be autopaid by the cc and than have the cc autopaid by your bank.

Re: Feeling like too much credit is available?

Anonymous — Mon, 10 Aug 2015 01:54:28 GMT

You need to think those limits as red lines on a car. if a 8k is one limit the high range should be 6 grand and a healthy range is less than three grand and so on.

I have a lot to work on, a few accounts I would love to have and if I got them Id close almost everythingelse. Right now if i was 15% utilization on every single account I have I would be overwhelmed

Re: Feeling like too much credit is available?

kuku4koco — Mon, 10 Aug 2015 03:00:29 GMT

@MoreInfo1 wrote:
Is this possible? After coming back to this wonderful community here at myfico, I have been on an apping rampage. I feel I have sufficient credit that I'm able to keep track of but I may be going out of control by apping for more. I have the following cards:

Wells Fargo $8000
Chase Freedom $2000 CL
Chase Slate $1000 CL
Discover IT $1500
NFCU cash rewards $12500 (new)
DCU $2900 (new)
Barclay RM $6100
AMEX ED $8500 (new)
Victorias Secret $900

but can't seem to decide if I should be closing out any (although I will be closing the Chase Slate after the 0% APR is over next year). Does anyone feel this struggle? How do those with so many cards manage/juggle it all on top of bills?

Excel Spreadsheet... Also, as someone else above stated: auto pay small bills on cards used less frequently/auto pay those cards from checking account each month (bills you would already be paying). You kept apping for the cards.... many feel it's better to have the credit when you don't really need it, rather than need it and not be able to get it. Just go to the garden~ Right?

Re: Feeling like too much credit is available?

Imperfectfuture — Mon, 10 Aug 2015 03:13:51 GMT

@Anonymous wrote:
You know the rule of thumb, NEVER close any accounts. It hurts your profile and takes away the padding you need to keep your utilization low and scores high should you need to make some large charges.

Just make some random small purchases on the cards you don't use much every 3-4 months.

It can also hinder your chances for new credit with banks tightening up. Overall available credit to income is starting to be a decline issue for Amex cli, or if apping for new card, get starting limit 1k. Chase is looking at approvals not only from internal limit, but also from income to overall available credit. If you are close to reaching 2x, or at 1x annual income with short AAOA, then closing unwanted cards should be on the list. Padding utilization should not be a top priority, since it is not the banks priority.

Credit swings in waves, and when banks, CC companies report bad quarters, they tend to tighten up like now, with arbitrary changes to approval rules. Go with the flow. If you are fine right now, garden. When it's time to apply, close what you don't need. The higher your score, the easier it is to accomplish this. Otherwise, stick to four cards, and get the limits equal to 2x your income. You should only be charging large purchases to low interest cards, or get a personal loan with a credit union.

Re: Feeling like too much credit is available?

Creditaddict — Mon, 10 Aug 2015 03:12:05 GMT

I disagree and have found banks are opening up like 2007 more and more Especially Chase!!!

Re: Feeling like too much credit is available?

Anonymous — Mon, 10 Aug 2015 03:16:01 GMT

And what happened after 2007? 😏

Re: Feeling like too much credit is available?

Imperfectfuture — Mon, 10 Aug 2015 03:17:23 GMT

@Creditaddict wrote:
I disagree and have found banks are opening up like 2007 more and more Especially Chase!!!

They are not. Even Irish80 got declined a cli for a 3k Amex revolver, scores in the 800's. And the new limits with Chase, many are denied due to app status. We are not talking about banks like Equality, small new issuers. Even NASA tightened up after reaching goal members. I don't want to hunt and peck for credit, and obscure banks, like Duck, are not my thing. Look what happened to Diners Club.

Re: Feeling like too much credit is available?

Anonymous — Mon, 10 Aug 2015 03:19:34 GMT

Maybe he meant Comenity and Capital One and not Chase. 😂

Re: Feeling like too much credit is available?

Creditaddict — Mon, 10 Aug 2015 03:21:00 GMT

I have 90+ experience credit pulls and 40+ new accounts and just got my 5th chase in under a year (British airways) for $16k
Amex 3x is not a good argument... My partner has been denied cli for over a year but approved 2 new business revolvers and business charge... The computer systems are very different for different actions

Re: Feeling like too much credit is available?

Creditaddict — Mon, 10 Aug 2015 03:21:13 GMT

Experian*

Re: Feeling like too much credit is available?

Anonymous — Mon, 10 Aug 2015 03:23:06 GMT

A Co-brand card. Your point?

Re: Feeling like too much credit is available?

Creditaddict — Mon, 10 Aug 2015 03:27:07 GMT

My point is I disagree with you and co branded or not your original argument was small no name banks and I prove major banks are still issuing.
And plum and business cash are not co branded Amex!