ok so will it hurt or aid my credit, if I get a new card w/lower interest and cancel

[ezbtr]

another one w/ higher interest? I pay em all off as soon as I get the bill.
Thanks

 

[ezbtr]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

just gettin better offers now a days in the mail and want to go w/ lower interest rate, even though I pay e m off right away, no interest - does that look better to the agencies?

 

[MTboatguy]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

Your going to take a hit with a hard credit inquiry, other than that, based on what I have been monitoring, I doubt it will have much effect. Short term loans have very little effect on your credit score, in fact some companies don't even report them.

 

[Jlawsen]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

If you are just swapping lenders it won't hurt your credit but it wont make it better on a credit report. Where it will make a difference is when you're interviewing with a lender and you tell them what you did and why. It's smart money management and that makes you a more credible borrower in the lenders eyes.

I dumped all my credit cards a couple of years ago and when I went to borrow for another boat and truck I told the lender my credit score is 677 and that's as good as it gets. The house is paid for and I don't have a mortgage. They ran my credit and told me I had fantastic credit. I ended up using my own financing but the story was the same so there you go.

 

[salty87]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

reducing your available credit is generally bad for credit rating. having it paid off and available is best. if there are no annual fees, keep it open.

 

[Tail_Gunner]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

Here's a guide line you have a certian amount of credit available to you say 15000. As long as you keep that 15000 or what ever it is open aka getting a card that has 15000 and closing all the others..Your golden..that's the magic keeping your open line's high and stable. Now if you have 15000 and get a card that gives you 10000 at a low apr...Keep the cards with a high rate until you can get a card that balances the 5000. It;s all about debt to income and stablity..Once you in the driver's seat you can have your way with cc company's.

 

[Tail_Gunner]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

If you are just swapping lenders it won't hurt your credit but it wont make it better on a credit report. Where it will make a difference is when you're interviewing with a lender and you tell them what you did and why. It's smart money management and that makes you a more credible borrower in the lenders eyes.

I dumped all my credit cards a couple of years ago and when I went to borrow for another boat and truck I told the lender my credit score is 677 and that's as good as it gets. The house is paid for and I don't have a mortgage. They ran my credit and told me I had fantastic credit. I ended up using my own financing but the story was the same so there you go.

Beware 677 is not golden any longer try 720 and above..Just a thought when listening to a lender saying something like that..Now trust me here im not saying your not golden..Hell your a iboat's junkie that alone makes you golden.

 

[angus63]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

If you have a short, limited credit history, dropping credit often may reflect poorly in some lenders eyes. Hard to say how much effect.

 

[bruceb58]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

If you pay your card off every month, you don't pay any interest so why switch?

Also, cancelling a card will hurt your credit. Keep it open with no balance as long as there isn't a yearly fee.

 

[Philster]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

Closing credit accounts negatively affects your score. Keep accounts open. Use and pay various debts and it gets even better.

An inquiry is a short-term hit not worth worrying about. You apply for credit with ABC bank... and who knows if you just borrowed 100k for a new Corvette or 10k for a used car? So, your score has to take a hit to protect the next lenders. The inquiry won't impact your score after a little time (because the account will show up if it actually happened).

Two decades working for TransUnion. Ask away.

My wife has a perfect score most of the time. I am up there, but a little worse. She just has tons of accounts -- all good -- but a variety of examples of paying all sorts/types/amounts of debt.

 

[bruceb58]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

I dumped all my credit cards a couple of years ago and when I went to borrow for another boat and truck I told the lender my credit score is 677 and that's as good as it gets.

677 is not very good these days. You need over 700 minimum these days. Mine is 800.

 

[WIMUSKY]

Re: ok so will it hurt or aid my credit, if I get a new card w/lower interest and can

677 is not very good these days. You need over 700 minimum these days. Mine is 800.

Agree. Our's was over 800 the last time we checked.... I'm with Bruce, I keep old ones open as long as there is no fees. He also makes a good point, why change if they're paid off every month? Unless you're anticipating a balance. Now balance transfers will help your credit because you end up paying off the previous card early.