4 ms·
This is probably a good strategy if you are older. But its definitely bad for your credit rating, so might not be a great idea if you are younger or otherwise t
by boucher 17y ago
This is probably a good strategy if you are older. But its definitely bad for your credit rating, so might not be a great idea if you are younger or otherwise trying to maintain a good credit score.
- eli 17y agoThanks to the utterly bizarre credit scoring system, the part that could really hurt you is closing the cards. Keep them open and it may well improve your score (certainly your debt to credit ratio would get a boost)
- dnsworks 17y agoNot really. FICO dings you for having more than 2 installment loans, or more than 4 revolving accounts. Plus you get dinged for having more than 2 "outside" inquiries in a year. More points disappear from your FICO for having a balance, or for having revolving accounts that have been opened in the previous year. Having a dozen accounts opened in a year (if even possible) triggers a high abuse potential and can even get existing accounts closed in a pre-emptive strike.
- dnsworks 17y agoNot really. FICO dings you for having more than 2 installment loans, or more than 4 revolving accounts. Plus you get dinged for having more than 2 "outside" inquiries in a year. More points disappear from your FICO for having a balance, or for having revolving accounts that have been opened in the previous year. Having a dozen accounts opened in a year (if even possible) triggers a high abuse potential and can even get existing accounts closed in a pre-emptive strike.