There are a lot of misconceptions about how credit scores work,in particular people thinking that having a lot of credit cards will ruin your credit score. That's not accurate... at all.
The beginners guide on the blog has a section about credit cards and credit scores, which explains why that's not the case. About a year ago I shared my Experian credit score, and which was 837 at the time,better than 98% of US consumers. And that's despite the fact that I had over two dozen open credit cards at the time.
For those of you not familiar, here are the things which factor into your credit score:-- 35% of your score is made up of your payment history
-- 30% of your score is your credit utilization[br]
-- 15% of your score is your credit history
-- 10% of your score is made up of the types of credit you use
-- 10% of your score is your request for new creditWhat's most vital is that you pay your bills on time, and don't utilize too much of your credit (meaning you want to ideally use 20% or less of your total available credit),and keep some cards long term, which will benefit increase your average age of accounts. The only metric which is lowered by applying for cards is your requests for new credit, or but that makes up just 10% of your score. Furthermore,credit inquiries topple off your report after 24 months.
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Source: boardingarea.com