Will adding a charge card like Amex help my overall credit score.

[sammyfire2001]

I already have 2 credit cards. One is a secured card from Orchard Bank(CL 500) and an unsecured card from B of A(CL 2700). I've been reading that you should have different types of credit to enhance your overall credit score i.e installment loans, credit cards and charge cards. So do you think that getting a green amex will be worth it.

[RobertEG]

Sammy, it depends upon its worth to you, individually.  No simple answer.

Getting another revolving (credit) card will not improve your credit mix.

To app for and get it, it will cost you a hard pull inq, which will hurt for the first year.  However, it might increase your CL and thus lower your %util.  And it is a prime card, which wont affect your score directly, but might impress a future lender.  And does it offer other benefits that are useful to you?

Rewards?  No simple yes or no answer.

[marty56]

If seems from your post that you are trying to build or rebuild your credit.  If that is the case I would look for credit in areas that can help you out in the long run.  Establishing a relationship with a credit uniton will help you get an auto loan or even a mortgage so I would look towards them.

People who know me here know that I dont like American Express and their Green card has a $95 yearly fee.  However they offer other products that are better so a Green card could open the door to other AE products for you if thats what you want.

[Anonymous]

I haven't seen any evidence to show profiles with charge accounts score higher. I think the mix is revolving/installment. Then auto and mortgage have their own category. Well this was all the stuff I could find out about scoring. It's possible. You could get a small score jump if you have an old amex and get a new one since they sometimes use your start date on the first one for the second. But this is only avg age points. I have been trying to find proof about charges for a while. But so far seems to be just like another credit card, actually carrying less weight compared to a revolving cc since I believe amex charge it is identified as "Retail". I still don't have an actual answer. My opinion is probably not going to help. And then you are stuck paying fees.

Message Edited by ilovepizza on 04-27-2008 03:25 PM