How many credit cards should I have?

It won't make much difference to building history, but a couple of back ups are useful.

Only take a Curry's loan if you desperately need something from Currys and can't afford it. But not buying it at all would be better.

All you need now is time.

You'd be better off paying for the oven in full if you have the cash. If you do have to take finance, clear it as soon as you can.

You can use your cards as much as you want, as long as you are clearing in full each month. It's a very low limit, so just don't go over.

Every month will put you in a better position. Use a decent broker when it comes to getting a mortgage (not one out of an estate agent).

2 Cards is more than enough to build history.

Don!!!8217;t get loans unless you really need them or they would benefit you. (Eg. Cooker has broken down can!!!8217;t cook meals and really need a new one but don!!!8217;t have the cash upfront.)

You won!!!8217;t get a mortgage anyway (at least not one with a decent interest rate) until your bankrupcy has dropped off.

Also consider different types of credit accounts. One credit card + one phone contract + one small loan are 3 different types of credit accounts whereas 3 credit cards are the same type of "revolving credit" or whatever it's called. There is no problem with having 3 credit cards (as long as you don't apply for all three in very short period of time), but like I said, different types of credit accounts look more attractive to lenders because it shows them that you can manage various types of credit. If you pay household bills, car insurance (monthly), that's just more plus points for you.


And remember, no lender will ever see your credit score - the three digit number. This is only an indication of what credit reference agencies think of how likely you are to be accepted for loans, credit cards, etc. CRAs only show it to you, but lenders have their own scoring models and use their own methods and scales.

What really counts is credit history of nice regular monthly repayments without any late or missed payments. And also (to a less extent) credit utilisation ratio, average age of all your credit accounts, etc.


If you can, keep your credit cards active "forever". Even if you don't need them or if you have a newer better card, just buy something for 10 quids every month even on that old card. After a couple of years, you will have credit accounts with long history of monthly payments. Set up direct debits to pay in full each month, so you will never forget to make payment and never pay any interest. It's also useful to have multiple direct debits, at least if you have an interest-paying bank account, which often requires some active DDs.


I will never close my Asda credit card since it is my very first credit card in the UK with longest history of payments. Actually, I think I will never close any of my cards if I don't have a damn good reason for it.