Should I be concerned with the number of credit cards I start/cancel?

edwardmluk

I like taking advantage of credit card offers (interest free for big purchases, or some freebies or whatever). So should I worry about getting multiple cards for different purposes, and cancelling them within the same year once I've got what I wanted? Assume that I never miss any payments. Do you get a lower credit rating for regularly taking out multiple cards. I guess in a normal year I'd look to take out 1 to 2 cards (maybe 3 if the deals can be gained within 3 or 4 months)?

grumbler

It's not that simple and depends mainly on other factors: total credit available, total credit used, income.
The number of cards is of little importance, but every new application leaves a credit search recorded in your files.

• Credit Ratings
• Old Credit Cards

[Deleted User]

I think this is very much down to the individual and how you operate the cards while you have them. I'm also a bit partial to getting bonuses etc and in the last 18 months I've applied and been accepted for two Current Accounts and 7 CCs (1 First Direct, 1 MBNA, 4 Amex and 1 Barclaycard).

I have since closed the FD CC (open for 9 months) and three of the Amex cards (2 after 12 months and one after about 3 months). One of the Amex had a £1000 spending target to hit the bonus - I made this in one transaction and never used the card again until it was cancelled! The feeling I get is that so long as you operate the cards well then you shouldn't have too much to worry about.

edwardmluk

Yeah I'm looking to take advantage of offers like those on Amex cards. I'm going to keep one CC as a backup, cancel the others and then carry on applying and using ones for offers as and when I see fit.

Cheers.

planteria

which should be fine.

but if, for example, you were going to apply for a mortgage in the next few months you would probably be wise not to carry on with this, as the applications for credit could have an adverse effect.

KevF_3

Does anybody know how long before applying for a mortgage should you look to stop adding applications to your file?

MrSilk

KevF wrote: »

Does anybody know how long before applying for a mortgage should you look to stop adding applications to your file?

I'd say 6 months to 1 yr

KevF_3

MrSilk wrote: »

I'd say 6 months to 1 yr

OK. Probably need to start thinking about that then.

Thank you.

[Deleted User]

I think there are no hard and fast rules when it comes to stuff like applying for a mortgage. If you have had several cards that have been operated perfectly (always paying in full, never going over limit) then I fail to see why any mortgage provider would view that as a negative factor. If anything it should be a positive factor as it demonstrates that you can budget and live within your means. Credit cards themselves are never a bad thing.