Useful Links

foxcreek9 · 05-20-2021, 06:01 AM

Between the two of us, 24 cards. both at 820 or so, swings 15 points in either direction month by month

scrabbler1 · 05-20-2021, 06:14 AM

I have 2 cards, but one is a back-up card I use once a year for a small, automatic purchase just to keep the account open. My credit score is in the 820s, although once in a while it dips a few points below 820 (and I don't know why; it's often due to a month with a slightly larger paid-in-full balance).

EastWest Gal · 05-20-2021, 06:43 AM

I have two major cards and one store card, because the store is very close to the house and it is one of our most commonly used stores for clothes. DH has two cards as well. Credit score about 820 consistently. The point is to have a back-up card in case of fraud and a need for replacement.

SheitlQueen · 05-20-2021, 07:36 AM

I have several that I got for airline miles, but I only use a single card now.

timbervest · 05-20-2021, 07:48 AM

3 Cards but only one used regularly (others no fee and just in case card 1 gets compromised). Usage card has best rewards. Credit score hit the wall at 850. Before retirement plans, got a no fee HELOC for large amount, used it to activate and then paid it off so it is there if I ever need to borrow although I cannot imagine I ever will.

Amethyst · 05-20-2021, 07:55 AM

We have 10 credit cards, mostly opened to get rewards or other incentives; some will get closed this year because of disuse.

We only use 4 or 5.

Our credit scores are around 830. This drops to the low 800's after a large purchase, even though it still is only 10-15% of total credit, and gets paid promptly.

old medic · 05-20-2021, 08:03 AM

Quote:

Originally Posted by plex

My score floats near 800, but it can't go over that because I've never had a mortgage, and a mortgage history is one of the big factors that go into a score

We are in the same boat... cant get above the 790s ...Paid off 1st mortgage, then bought our next 2 places with cash. Have cancelled several cards this year, have 2 major left, Visa with our bank, and Discover. Just used the Discover for the 1st time since 2017....for a new laptop due to threat to cancel..
5 store cards... mostly used for 0% interest over time big purchases.
This is how we are rebuilding our house... current "0% mortgage" balance
$5300... $3200 of that just bought cabinets before 2 years

Chuckanut · 05-20-2021, 08:54 AM

The best reason to have two or three credit cards is in case your bank starts to dislike you and cancels your card. Just make sure each card is from a different financial institution. Or what if you are traveling in small village in Lower Slobovia and your card is lost or stolen? It's good to have another.

The second best reason is that cash rewards often vary in amount and with time. As of today, my Amazon prime is my best gasoline card. That will change in three months. Another card is currently giving me 5% on groceries. That will change in the future. My go-to 2% card is getting less of a workout these days. Higher but temporary cash rewards seem to be the 'in' thing. Show me the money.

In these days of 0.5% CD rates, I'll squeeze every dollar I can.

brett · 05-20-2021, 09:01 AM

We have three. We travel frequently. More than once we have had charges rejected by the issuer.

Credit score is always sitting at 850 when I log into my Capital One account. Do not really know what it means. Someone told me that my credit score has an impact on our insurance rates-home and auto. Not certain why this would be.

Sunset · 05-20-2021, 09:26 AM

Quote:

Originally Posted by brett

We have three. We travel frequently. More than once we have had charges rejected by the issuer.

Credit score is always sitting at 850 when I log into my Capital One account. Do not really know what it means. Someone told me that my credit score has an impact on our insurance rates-home and auto. Not certain why this would be.

There is a correlation between low credit scores and higher accident rates. Insurance companies used credit score as a predictor of those folks having more accidents.

Out of Steam · 05-20-2021, 09:42 AM

Quote:

Originally Posted by teejayevans

I have 2, just in case I have a problem with one.

Same with us. My wife and I have a shared American Express, and each have an independent Visa card. Credit score between 800 and 810.

The American Express could get closed in the next year or so since my wife is no longer getting reward points added in from a corporate account.

Major Tom · 05-20-2021, 09:51 AM

Quote:

Originally Posted by plex

My score floats near 800, but it can't go over that because I've never had a mortgage, and a mortgage history is one of the big factors that go into a score if you really want to max it out.

My score is 830, with just 3 credit cards, and no mortgages or auto loans on my credit history. I did have 4 mortgages, but they were all paid off around 15 years ago and have since fallen off my credit record. I imagine that with a mortgage and auto loan, it would go higher.

Sojourner · 05-20-2021, 10:10 AM

I have 4 cards. For me, it doesn't make sense to have just one. I consider two the minimum number, for reasons as simple and straightforward as 1) a backup card is good in case one gets damaged or stolen, 2) some cards have no foreign transaction fees, 3) some cards are excellent for certain types of cash-back rewards (travel, groceries, gas, Amazon). It would be very challenging to find one card that excels in all those areas, so having 2-4 seems prudent and reasonable, IMHO.

REWahoo · 05-20-2021, 10:18 AM

Quote:

Originally Posted by Sojourner

It would be very challenging to find one card that excels in all those areas, so having 2-4 seems prudent and reasonable, IMHO.

+1

I have three cards:

One card for gas and diesel purchases - 5% cash back, no limit.
Second card for Amazon purchases - 5% back, Amazon credit.
Third card for everything else - 2.5% cash back on everything, no limit.

Trailwalker · 05-20-2021, 10:27 AM

I have two in case the card that I use is lost or compromised. I make sure the second one stays active by putting an annual payment on it. I've had both cards over twenty years and have a very high credit score (800 plus).

brett · 05-20-2021, 10:31 AM

Quote:

Originally Posted by Sunset

There is a correlation between low credit scores and higher accident rates. Insurance companies used credit score as a predictor of those folks having more accidents.

You would not know it based on the outrageous home and auto premiums that we pay each year!

Ncc1701 · 05-20-2021, 10:33 AM

Amex & Visa are all I need. And I only use the Visa at Costco

ExFlyBoy5 · 05-20-2021, 10:39 AM

Quote:

Originally Posted by Aerides

While many do, and might have high 700/over 800 scores, it's still not helpful if getting more credit and the best rates is a goal.

Every type of loan (car, mortgage, credit card, etc.,) looks at something in your credit history to determine Y/N/How much. It's (almost) never just the score. Balances, credit used, debt to income ratio, payment histories, that show a lender how you MANAGE credit is often more important, for the big stuff.

If you have a perfect credit history with just one card in use for the last 10 years, all other debts behind you, that says "I can handle one credit card perfectly!" Yay, but not so much. A lender might be cautious, you don't seem familiar with managing debt to them. That caution will show up in either a denial, a smaller credit line, or extra points. You might never know.

If you have the same, keep balances low and on time, but with three cards in rotation, maybe still a mortgage, a lender says, Ok now here's someone who can manage credit. Tossing them a new card or loan? No problem.

While I would say this is generally good information, folks should realize that there isn't "just one" score...they are lots and LOTS of them. Each are designed to either milk money from you (increase your score by self reporting!) or specialized to the credit one seeks (credit card, installment loan, car loan, even different scoring for different insurance needs).

I currently have 13 open credit cards but as a matter of course, only use 3 (USAA Cash Back, AMEX Cash Back, CHASE AMZN Cash Back) and do not carry a balance and have no other open accounts (installment, mortgage, etc). Available credit shows about $190,000 and the scores I can ascertain (Credit Karma and AMEX score service) shows 814/837/838 and these scores go up and down 10-15 points each month depending on how my credit card balances appear but rarely does it go below 800. USAA won't allow me to make payments on pending charges, so while I try to pay the balance prior to statement closing to keep a $0 balance reported...sometimes that doesn't happen.

To illustrate the absurdity of the credit scoring methodology, consider my latest 12 point drop. The reason? My CC balance reported went from $1200 the previous month to $12 this month (still well, WELL below 1% utilization of course). To me, this make zero common sense.