topic Re: Too Many New Accounts!!! in Credit Cards

Too Many New Accounts!!!

Anonymous — Mon, 03 Dec 2007 02:49:52 GMT

What is the normal amount of new accounts to apply for and in what time frame? Is there a certain number like 2 per year? I have the finances today that I did'nt have when I filed bk 5 years ago so I can pay my credit card bills, but I don't want to open up too many and hurt my FICO score! Also, I am interested in buying score watch can anyone give me insight on this product.

Thank alot

Re: Too Many New Accounts!!!

Anonymous — Mon, 03 Dec 2007 02:52:54 GMT

Lady_Godiva wrote:

What is the normal amount of new accounts to apply for and in what time frame? Is there a certain number like 2 per year? I have the finances today that I did'nt have when I filed bk 5 years ago so I can pay my credit card bills, but I don't want to open up too many and hurt my FICO score! Also, I am interested in buying score watch can anyone give me insight on this product.

Thank alot

Scorewatch alerts you to changes on your EQ report and you get two free 'Score Powers' (detailed credit reports with that).

As far as too many new accounts, I'm not sure what the magic number is but it now shows as a factor on my scores. I have opened two many in the past year 8 total.

Re: Too Many New Accounts!!!

Anonymous — Mon, 03 Dec 2007 03:28:02 GMT

I am not sure however I can say in the past year I have refinanced my home bought a new car and opened up 4 new credit cards (my scores finally got up and I started getting good offers and I have taken advanatge of them--however my scores are in the 600s I have seen them go down one month and as soon as things start posting and reporting and avail credit start increasing the scores increase as well-I have never seen the scores suffer for long periods of time--I think after a period of time the inquires become NUMB!!! However I am not sure of all the details but maybe you will hear back from some of the great credit experst on here---GOOD LUCK!!!

As for score watch I am not sure I have not signed up for that....

Re: Too Many New Accounts!!!

Anonymous — Mon, 03 Dec 2007 05:29:40 GMT

I use a rule to not to take you avg age back to the previous year.

I say take it slow and be PICKY

@Anonymous wrote:
What is the normal amount of new accounts to apply for and in what time frame? Is there a certain number like 2 per year? I have the finances today that I didn't have when I filed bk 5 years ago so I can pay my credit card bills, but I don't want to open up too many and hurt my FICO score! Also, I am interested in buying score watch can anyone give me insight on this product.
Thank alot

Re: Too Many New Accounts!!!

dangphuocloc72 — Mon, 03 Dec 2007 06:56:58 GMT

in this year I open 8 account close 4 good standing . now only 5 open , I don't know do I needs some more CC . any Ideal please ? ( but I don't really needs more CC , and I don't want carry with me all my cc )

Re: Too Many New Accounts!!!

SmartCookie — Mon, 03 Dec 2007 07:19:49 GMT

Timothy wrote:
I use a rule to not to take you avg age back to the previous year.

I say take it slow and be PICKY

There is so much to be said for patience and strategy in building great credit.

Re: Too Many New Accounts!!!

SmartCookie — Mon, 03 Dec 2007 07:25:40 GMT

dangphuocloc72 wrote:
in this year I open 8 account close 4 good standing . now only 5 open , I don't know do I needs some more CC . any Ideal please ? ( but I don't really needs more CC , and I don't want carry with me all my cc )

If you are not having trouble keeping under 10% UTI I would wait until your INQs age at least year before applying for CLIs and new cc's.

But I would try to get CLIs on your existing accounts with all that will only do a soft INQs or account reviews. They may be all you need if they can give you a big enough CL in time. Still, no matter how many cc's you have... you shouldn't carry around the ones you don't use regularly. No need.

Re: Too Many New Accounts!!!

haulingthescoreup — Mon, 03 Dec 2007 11:16:31 GMT

@Anonymous wrote:
What is the normal amount of new accounts to apply for and in what time frame? Is there a certain number like 2 per year? I have the finances today that I did'nt have when I filed bk 5 years ago so I can pay my credit card bills, but I don't want to open up too many and hurt my FICO score!

I found that if I have one inq on a particular CRA, I don't get a naughty message on screen 2 of my FICO's, but if I have two, I do. Even one is counted off, but the scolding begins with 2.

Generally, once you receive a card and start using it (very responsibly!), the points you gain for having additional credit will cancel out the points taken away by seeking credit (that's the category they use for inqs and cards younger than 12 months.) You'll generally see score recovery and improvement after 3 months or so.

You'll get a really nice hop at 12 months. I think that's what happened to my scores when I pulled on 12/1. Even though my two new accounts are a few weeks shy of being one year old exactly, it looks like I got the credit on the first day of the month. But the inqs are still being counted, though --go figure. I guess they go by exact date.

Go with what Timothy said --let the CCC's be your suitors, and be very choosy about who you go with!

Re: Too Many New Accounts!!!

Anonymous — Mon, 03 Dec 2007 13:28:28 GMT

The thins is you don't want that to be big enough of a factor to cause other lenders to hit you with AA which has been known to happen.

Re: Too Many New Accounts!!!

Anonymous — Mon, 03 Dec 2007 16:39:47 GMT

How many is to much you ask? That opinion will vary, I'm sure. For me, I'm in a new credit territory I've never ventured into, and have mixed emotions about it.

Since early August, 2007 I've applied for and received 7 credit cards... 3 bank cards, and 4 store cards. In just 4 months. Shame Syl, shame on you.

Knowing that you can apply for and get cc's is a dangerous mindset to get into. Oh, the cc abuse will NOT happen. It's just the discipline of NOT applying for more cards, is where I am failing myself. But I have a feeling that is quickly tapering off. But the urge to app is daily. Time to let the cards I now have age, and increase in cl.

I think I'm getting into a good habit(for me) by stop using the cc's when they exceed 10%-20% util(until I get it back down to the target util of 5%). 10% util is easy to do with only a $400 cl on a card. Not even a tank of gas nowadays.

I knew full and well that my scores would take a dive, for every card I apply for. And yes, the scores have fallen about 10 points for each cc application. But a sacrifice I was willing to make.

OH, I'm just blabbering away! Sorry to get on my soapbox everybody. , but felt the need to express my feelings. Hoping someone may benefit from my experience.

Message Edited by Sylviatob on 12-03-2007 08:39 AM

Re: Too Many New Accounts!!!

Anonymous — Mon, 03 Dec 2007 16:42:15 GMT

@Anonymous wrote:
I use a rule to not to take you avg age back to the previous year.

I say take it slow and be PICKY

Timothy, I like your guideline there, it just convinced me to stop app'ing. I got 3 new personal and 1 new business CC this year, and I see that my average age of CC accounts (personal only) have dropped from 12.5 to 10 years.

Thanks!

Re: Too Many New Accounts!!!

Anonymous — Mon, 03 Dec 2007 20:52:42 GMT

There's no easy answer for that.

If your credit history is currently short (say, less than three years), I could make a case for applying for several cards at once. You don't have that much to lose in terms of average age of accounts. Yes, you will take a hit on inqs...possibly as much as 30 or 40 points. However, the damage will be very temporary...in a matter of months your score will recover. After a year, inqs don't even count against you.

Going forward, you'll have 6 or 7 accounts in good standing, reporting regularly. When you do add an account (say, a mortgage or car note), your average age won't take that big a hit...you might lose half a year or so.

Re: Too Many New Accounts!!!

haulingthescoreup — Tue, 04 Dec 2007 00:39:28 GMT

And of course, asking us here on this forum what the "normal amount" of accounts to apply for ...! We might not exactly be normal credit applicants.