Archive for August, 2007
Hi everyone.
I’ve been spending alot of time contemplating credit score issues and I am now considering applying for 4 new credit cards at once. However, I plan on never activating the cards for use or charging anything to the accounts.
I know my score will take a big hit for this one day of hard inquiries, but I think that in the long run it will greatly benefit my score because of the large increase in available credit with no increase in used credit.
But at the same time i’ve heard that when I go to apply for a mortgage, the banker will probably notice my available credit and use that against me.
My question is – what are all of the possible downsides of having many credit cards besides the obvious temptation of spending money you don’t really have?
Thanks so much for your help and I’m looking forward to your advice.
Thanks for the great responses – my score averaged from the three bureaus is 736 and all the offers were approved. In all honesty, my company’s stock just hit a 3 year low, so I am going to 0% cash advance the credit into my corporate discount ESPP program and flip the shares. I know this is not encouraged by most corporations – but hey the free money is hard to pass up.
Then I will reimburse the cards and let them sit until I see another opportunity of this sort. Thanks again!
Loura Mirarchi
Request to confirm the logic behind the encouragement and discounts being offered only on credit cards and not on debit cards. Infact the debit cards should be more reliable and trust-worthy. Also the airline companies and even some shop-keepers always tries to avoid or do not allow purchases on a debit card. What’s the benefit of a shop-keeper other than the card company in this transaction. Can we raise our voice against this discrimination?
Brad Carlis
The Wall Street Journal reported today (2/13/07) that Bank of America has rolled out a program in Los Angeles county offering credit cards to those without social security numbers or credit histories. They hope to go national with the program this year.
In recent years, banks across the country have been offering checking accounts and even mortgages to undocumented immigrants, most of whom are Hispanic. Is this a good idea? What do you think will be the long-term effects?
Andrea Cassello
i want to know how much should i spend on each credit and should i pay off completly or should i leave a few dollars on i heard that you should use 30% on each then pay off each month but leave 5 10 dollars so credit card company get some money . also will it hurt my score if i don’t use my 5 cards monthly? I only use my cards for bill, gas groceries ect. so i know i’m spending money that i already have. does any one know what are other things i can do to bring up my credit score. i have a 580 right now but i will be looking to get a house in a year or two so please if anyone has any ideas on raising my credit score pease respond thank you.
Gwenda Zumbo
As far as I know, credit cards involve paying interest rates to the bank wich costs additional money on top of the purchases price. On the other hand debit cards are free when used in offline and online purchases, so does anybody know why people prefer to use credit cards instead of debit cards ?
Jackson Dunavant