How many credit cards?

cathybird

no, I don't think it does improve your credit rating to have loads of cards, because banks etc assume that it's best not to lend you too much more in case you run all the available credit up to its limit and are then unable to pay it back. Well so Capital One told me once!! I read somewhere that the preferred number of credit cards is two.

southernscouser

PollyByGolly wrote:

Hi Guys,
I will close the 2 cards which we've paid and apply for the virgin card and keep my fingers crossed.

If you haven't already applied for the new card don't just yet Polly. It can take over a month for your credit files to be updated about any closed cards plus also as your other cards are already at 0% should you be accepted you are losing 2 months of the 0% deal as you only want it to start in October!

Broken_hearted

How many credit cards should someone have -NONE. The idea that people need to have some sort of cresit safetynet is a good way for the banks to make money.

Mrs_pbradley936

I am probably older than most people responding to this thread but it helps to think of credit cards as being debt cards. A few years ago it was not possible to be worse than broke, skint, potless etc. Now one can easily be far worse off i.e. debt. I am glad I grew up before credit cards were the norm BUT to offer practical help to those with debts now stop spending on anything that is not necessary and see if you can remortgage if you have equity.

cathybird

maybe I should clarify what I said earlier (which was in response to a specific question about credit ratings) ... I agree that from the consumer's perspective the ideal number of credit cards is none, just as the ideal amount of debt is nil. If you're thinking in terms of what gives you a good credit rating, though, lenders are suspicious of people who have no credit record. So if you do have to borrow for a mortgage, say (and most people can't buy a house outright), then as far as I know you're likely to get a better deal if you've had a couple of credit cards and can show record of repayments. This is obviously wrong and sad, but that is how it is. Obviously if you DO want to have a credit card and show you've used it the only good way to do it is pay everything off each month, so that you pay no interest. By doing so you beat the system. But as the whole DFW forum shows, the system is totally geared against you and it's pretty hard to beat.

newleaf

PollyByGolly wrote:

I will close the 2 cards which we've paid and apply for the virgin card and keep my fingers crossed.
Polly

I believe this is the correct decision, and also SS has given good advice re timing your application. I'm in a similar situation myself - I've two 0% offers currently on the go, one ends in May and the other next Sept, and I'm also paying a minimum of £700 a month to clear them, sometimes I can manage a little more.
When I consider what I could be doing with that money, if I hadn't been so stupid as to run this bill up in the first place, it is very sobering . Like you, I can't wait for the day when it's all paid up and I have the option to spend or save as I wish. Good luck with your DFW journey