0

Multiple credit cards have new user promo offers ($100 off first payment or similar).

I wish to take full advantage of these offers, and open about 4 new credit cards within the next year.

However, I don't have enough credit history. I just opened my first credit card last month. I do have self-control, i.e. having too many credit cards won't mean unnecessary expenses, and I have enough income to sustain current expenses and more.

But I've heard that having too many credit lines is not good for credit score. I have minimum 2 years till I will need to use my credit score for anything. How do I make sure my credit score doesn't get affected?

1 Answer 1

2

Every time you apply for a line of credit card and they do a hard pull, your credit score goes down a little.

Every time you get a new card your percent utilization goes down, which can help your score.

I do have self-control, i.e. having too many credit cards won't mean unnecessary expenses, and I have enough income to sustain current expenses and more.

The other part of the approval process is comparing your available credit to what your income can support. If your available credit is growing, and your income isn't you might reach a point where a company will reject your application even with a great credit score.

I have minimum 2 years till I will need to use my credit score for anything.

I would make sure during those last 6 months there are no new applications for credit, that way getting a new card for a $100 prize won't impact your ability to get a car loan.

Note: if there are a number of hard pulls for a similar debt instrument during a short window, the credit score model will treat them as one single hard pull. This is to protect the consumer who has their credit checked at multiple auto dealerships/banks while car shopping. But a credit card pull and a auto loan pull would be two pulls.

You must log in to answer this question.

Not the answer you're looking for? Browse other questions tagged .