No credit card required
Browse credit cards from a variety of issuers to see if there's a better card for you.
I was approved for a creidt card with my credit union for a measly $500, albiet my lowest interest rate, but I am wondering if its worth it to add this card to my credit profile. It doesnt have much to offer except cash back, but all of my current cards offer cash back. I likely will never use this card, it will just add to my revolving available credit.
I am considering declining it becuase adding this card wold negatively affect my AAoA. However, I just got a new card last month, so I dont think that really matters. This year I really statred to focus on my credit and added three new CCs.
My question is should I accept the card or decline it, and why? Is there anything that I haven't considered in this post?
TIA
@Anonymous wrote:
I was approved for a creidt card with my credit union for a measly $500, albiet my lowest interest rate, but I am wondering if its worth it to add this card to my credit profile. It doesnt have much to offer except cash back, but all of my current cards offer cash back. I likely will never use this card, it will just add to my revolving available credit.
I am considering declining it becuase adding this card wold negatively affect my AAoA. However, I just got a new card last month, so I dont think that really matters. This year I really statred to focus on my credit and added three new CCs.
My question is should I accept the card or decline it, and why? Is there anything that I haven't considered in this post?
TIA
Congrats on the approval? Regardless whether you accept or decline it the account has been opened and will report to all bureaus.
@Anonymous wrote:
I was approved for a creidt card with my credit union for a measly $500, albiet my lowest interest rate, but I am wondering if its worth it to add this card to my credit profile. It doesnt have much to offer except cash back, but all of my current cards offer cash back. I likely will never use this card, it will just add to my revolving available credit.
I am considering declining it becuase adding this card wold negatively affect my AAoA. However, I just got a new card last month, so I dont think that really matters. This year I really statred to focus on my credit and added three new CCs.
My question is should I accept the card or decline it, and why? Is there anything that I haven't considered in this post?
TIA
Congrats on the approval. You have already taken the HP for the card. I would keep it and see if it grows with you. Whether you keep or close this card is going to show up as a tradeline on your reports. Yes it will affect your AAOA but the damage is already done. It is important to remember that only app for cards that you are going to use.
I'm a weird one - I closed a card earlier this year before it even showed up in the mail. I don't think there's a point in keeping an account open that you're not going to use. It won't affect your credit much. And really, who cares if you have an inquiry and nothing to show for it. The inquiry will be gone in two years. Of course, credit llimits can grow in 2 years as well. But I also don't think there's a point in having overlapping rewards. If you're getting the same rewards structure or better with another card, there's just no point.
Total CL: $321.7k | UTL: 2% | AAoA: 7.0yrs | Baddies: 0 | Other: Lease, Loan, *No Mortgage, All Inq's from Jun '20 Car Shopping |
Thanks CatofSpades. That's a good point and that was the reason I considered decliningthe card. On the other hand, it may grow in two years, and I might be more inclined to use that card since it has a lower APR than all my other cards.
I'm probably making a bigger deal of this than it probably is. I know some of you are thinking "just keep the damn card!"
@Anonymous wrote:
I was approved for a creidt card with my credit union for a measly $500, albiet my lowest interest rate, but I am wondering if its worth it to add this card to my credit profile. It doesnt have much to offer except cash back, but all of my current cards offer cash back. I likely will never use this card, it will just add to my revolving available credit.
I am considering declining it becuase adding this card wold negatively affect my AAoA. However, I just got a new card last month, so I dont think that really matters. This year I really statred to focus on my credit and added three new CCs.
My question is should I accept the card or decline it, and why? Is there anything that I haven't considered in this post?
TIA
I think you should keep it
1. Credit union credit cards have better terms
2. It will grow
3. It's probably already in your report, so closing it won't affect your AAoA
Are they giving you the option to decline the card? As in if you decline, they will not open the card and it will not show up on your reports. I ask because I had that option for my last CU card I app'd for. If so then I would decline if you are not going to use the card.
If it is going to show up on your report, I would keep it open for two years (assuming no AF). Then decide if you want to close it or not. I don't like closing cards so soon after opening them. Not that FICO cares if you close the card right away.
What are the limits of your other cards? CU's are usually pretty good at raising limits over time and as stated above their interest rates are favorable. The more important concern I would have is why the CU gave you a SL of only $500 (especially if some of those other cards you have possess higher limits)?