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Question about to many cards...

Queen_of_hearts
New Visitor

Question about to many cards...

Hi guys, I have been following this forum for a long time and decided to post and try to interact more now that I have been able to get my credit going.

 

I was unable to get my credit started for a long time and recently about 3 years ago I was able to get myself atleast on my credit feet. My question is this, I have 13 cards in total... I may had gone crazy due to finally getting accepted. 1 is a secured card with capital one and has had it for over a year and still cannot get an unsecured card Smiley Frustrated a unsecured credit one card. And the rest are store cards. All low CL. I do not know if I should cancel some or what to do... I can passed with no problem for store cards but cannot get passed for an unsecured credit card. 

 

Any suggestions to help an overly spread out person...

Message 1 of 18
17 REPLIES 17
MrsCHX
Valued Contributor

Re: Question about to many cards...

I'll take your word that you're spread out. 13 cards isn't necessarily a lot.

So what cards do you have and when were they opened?

What's your FICO scores?

How many inquiries do you have on each bureau?

What negative items are on your reports?

11/2017: EX 704 | TU 720 | EQ 672 -- Starting (2/2016): 630 | 620 | 580 -- INQs: 17 | 26 | 28 (last 6 months: 5 | 2 | 6)
AMEX Delta: $10k, Marvel: $8k, Discover IT: $7.2k, AMEX BCE: $6k, Target MC: $5k, PayPal 2%: $8k, CO QS: $2.6k, Merrick: $1.6k, Barclay's NFL Rewards: $1k, CO BuyPower: $500. And a mix of well-loved store cards.
Message 2 of 18
AverageJoesCredit
Mega Contributor

Re: Question about to many cards...

Welcome to the boardSmiley Happy Definitely post your stats as suggested by MrsCHX. This will help in giving you a better place to start. 12 store cards and a secured card should have created enough history to warrant an unsecured cc by now. Also let us know what kind of baddies may be holding you down. Thanks and again welcomeSmiley Happy
Message 3 of 18
Anonymous
Not applicable

Re: Question about to many cards...

12 store cards IMO is far too many.  Heck, 3 IMO is too many.  Store cards aren't a good look and could potentially hold you back from obtaining and growing real cards.  As a general rule, I would never suggest anyone have more than 1/4 of their total cards be store cards.  I would definitely look into closing a large portion of them down if I were you.

Message 4 of 18
Lavathing
Regular Contributor

Re: Question about to many cards...


@Anonymous wrote:

12 store cards IMO is far too many.  Heck, 3 IMO is too many.  Store cards aren't a good look and could potentially hold you back from obtaining and growing real cards.  As a general rule, I would never suggest anyone have more than 1/4 of their total cards be store cards.  I would definitely look into closing a large portion of them down if I were you.


I agree. I generally only open store cards for stores that I know I very frequently shop at. Excessive amounts of credit being tied up on store cards limits the amount of credit you can get elsewhere. Creditors often look at your total amount of revolving credit compared to your income. Even if you have zero credit with AMEX, for example, they may not approve you because they see you already have a ton of available credit elsewhere compared to your income. Everyone has a different variable "maximum" amount of credit they will be offered. Store cards are taken into consideration for this, despite not being a card that can be used anywhere other than the one store.

 

Personally, I only have 3-4 store cards and am thinking about closing down my JCP and/or Macy's card. Often it's just better to use my JetPlue Plus card for better rewards. Although, I do find very good use out of my Best Buy Card (6%+ back on everything and 12month 0% financing) and Amazon Store Card (0% Financing). You really just need to sit down and determine which store cards provide value to you, and which do not. Close the ones that give you little or no value (or less value than what a traditional credit card, which you can apply for, would provide).

EQ: 750 TU: 757 EX: 734 Goal: 800+
Total Credit: $34,800 | Utilization: $900 / 2.6%
Message 5 of 18
joltdude
Community Leader
Senior Contributor

Re: Question about to many cards...

Queen (Original Poster)

 

Normally id be ditch the Credit One card... but not so fast....

 

I know I need to know what your Fico Scores are (not FAKO)... and perhaps how many inquiries you have on the various Credit Bureaus......(Hard Pulls)

 

I'm thinking depending on the score, might need to prune some of those store cards, get rid of the Credit One (not the Cap One)... and possibly go for another secured card with a more mainstream/prime bank that is KNOWN TO GRADUATE... If you didn't end up in this predicament, i would be like.. bypass the secured cards entirely.... but not with the present data... 

 

Some thoughts.. check for preapprovals for an unsecured card with Cap One is an option as well... they are pretty solid but im flying blind not knowing your scores and the reason code for your denials.... Sometimes Cap One cards graduate but its still not very common or predictable.. 

 

If your not burned anyone you could try for a Secured Discover and/or Secured BOA card, and still close the Credit One.... 

 

I wish you luck and please do try to fill in the missing bits so forum folks can give more personalized ideas for you..

 

-J

(You want to replace some of those store cards, with some major cc's)

 

Message 6 of 18
Lavathing
Regular Contributor

Re: Question about to many cards...


@joltdude wrote:

 

 

I'm thinking depending on the score, might need to prune some of those store cards, get rid of the Credit One (not the Cap One)... and possibly go for another secured card with a more mainstream/prime bank that is KNOWN TO GRADUATE... If you didn't end up in this predicament, i would be like.. bypass the secured cards entirely.... but not with the present data... 

 

 


Oh gosh, I missed the part where OP mentioned Credit One. I'd dump that thing ASAP. Credit One is a predatory lender in my book and I see no reason anyone should ever do business with them. That being said, I'd try for the Discover IT Secured card. It has a good history of graduating to the unsecured version after the 7th statement. 

EQ: 750 TU: 757 EX: 734 Goal: 800+
Total Credit: $34,800 | Utilization: $900 / 2.6%
Message 7 of 18
MrsCHX
Valued Contributor

Re: Question about to many cards...


@Anonymous wrote:

12 store cards IMO is far too many.  Heck, 3 IMO is too many.  Store cards aren't a good look and could potentially hold you back from obtaining and growing real cards.  As a general rule, I would never suggest anyone have more than 1/4 of their total cards be store cards.  I would definitely look into closing a large portion of them down if I were you.


Where on earth did this originate? 

 

OP I have 9 store cards. Had 12 but closed Overstock, JCrew and Kohls yesterday. They no longer served a purpose for me and the limits were low. I still have Walmart ($6k), Amazon ($5k), TJ Maxx ($3.5k), AE ($3.5k), Taget ($2k), VS ($1.5k), AnnTaylor ($750), Macy's ($600), and Pier1 ($500). 


With my 12 store cards I still managed, in the last 4 weeks, to be approved for Marvel ($1.5k), Barclay NFL ($1.3k), AMEX BCE ($2k) and lastly, with allllllll 12 "bad" store cards...AMEX Delta Gold for $10,000. 

 

Your profile will determine what you are eligible for with each lender. As you build your credit and add major bank cards, your profile improves. The BAD thing about adding store cards is people adding random cards just because they can get approved. Yep, I'm guilty of it too during my rebuild. You want to add cards that will benefit you be they store or major. 

 

RIght now, as mentioned, you need to focus on dumping Credit One. I totally missed that as well. I agree with adding a good secured card like BOA or Discover if you can. 

11/2017: EX 704 | TU 720 | EQ 672 -- Starting (2/2016): 630 | 620 | 580 -- INQs: 17 | 26 | 28 (last 6 months: 5 | 2 | 6)
AMEX Delta: $10k, Marvel: $8k, Discover IT: $7.2k, AMEX BCE: $6k, Target MC: $5k, PayPal 2%: $8k, CO QS: $2.6k, Merrick: $1.6k, Barclay's NFL Rewards: $1k, CO BuyPower: $500. And a mix of well-loved store cards.
Message 8 of 18
oldman425
Frequent Contributor

Re: Question about to many cards...

IMO having a store card for a place you almost never shop at is a waste.  With that said my store cards are approx. 10% of my total available credit.  Every person on here can choose whatever they want when it comes to their credit, some want $100K or more in credit while others are happy with just $10K-$20K.  Just do whatever you feel most comfortable with.

12/27/16 - Eq683 TU666 Ex681 04/05/17 Eq742 TU763 Ex757
Message 9 of 18
joltdude
Community Leader
Senior Contributor

Re: Question about to many cards...


@MrsCHX wrote:

@Anonymous wrote:

12 store cards IMO is far too many.  Heck, 3 IMO is too many.  Store cards aren't a good look and could potentially hold you back from obtaining and growing real cards.  As a general rule, I would never suggest anyone have more than 1/4 of their total cards be store cards.  I would definitely look into closing a large portion of them down if I were you.


Where on earth did this originate? 

 

OP I have 9 store cards. Had 12 but closed Overstock, JCrew and Kohls yesterday. They no longer served a purpose for me and the limits were low. I still have Walmart ($6k), Amazon ($5k), TJ Maxx ($3.5k), AE ($3.5k), Taget ($2k), VS ($1.5k), AnnTaylor ($750), Macy's ($600), and Pier1 ($500). 


With my 12 store cards I still managed, in the last 4 weeks, to be approved for Marvel ($1.5k), Barclay NFL ($1.3k), AMEX BCE ($2k) and lastly, with allllllll 12 "bad" store cards...AMEX Delta Gold for $10,000. 

 

Your profile will determine what you are eligible for with each lender. As you build your credit and add major bank cards, your profile improves. The BAD thing about adding store cards is people adding random cards just because they can get approved. Yep, I'm guilty of it too during my rebuild. You want to add cards that will benefit you be they store or major. 

 

RIght now, as mentioned, you need to focus on dumping Credit One. I totally missed that as well. I agree with adding a good secured card like BOA or Discover if you can. 


 

 

Really do think that when the ratio of store cards to majors is high it doesn't look as good on manual underwriting/review... Say a mortgage app... Some issuers have and do question folks with a bunch of store cards... Heard of Barclays doing it, as well as Chase and BOA. That said.. if you use them, and pay them off, thats all that really matters... But... and this is just a thought... the high inquiry counts to get these.. assuming they arent all shopping card tricks... and how its eating into your AAoA... that may be more relivant in the OPs scenereo 

 

MrsCHX..

My question to you... Why do you still have a Merrick card?  Does it have an AF?  Is it a Double Your Limit and if so has it doubled yet?  Just curious

-J

 

Message 10 of 18
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