Comments on: Applying For Credit Card With A Bad Credit Rating

By: Tim Z

Tim Z — Wed, 28 Oct 2009 06:01:59 +0000

Just use the credit card for shopping and pay it in time, and your credit score will grow. Here is some most popular credit card offers to establish credit – credcards.maclenet.com
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By: Andy R

Andy R — Wed, 28 Oct 2009 05:59:59 +0000

actually, closing the old one may be a mistake.

What the lenders want to see is a positive rating (repayment) for long periods of time. So keep the current card open and leave it open. Charge something small every so often and pay it back in two payments. So, you charge $50 today and pay $40 when the bill comes. Then pay the balance a few cents interest after that.

If there is nothing wrong with the current account-don’t close it. Closing and opening accounts that are similar will not help your rating at all.
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15 years banking and volunteer financial counselor

By: golferwhoworks

golferwhoworks — Wed, 28 Oct 2009 05:57:59 +0000

no keep all accounts open for at least 12 months or longer the longer open paid as agreed the better for your score as long as you keep them below 30% of the total allowable credit
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By: calisto625

calisto625 — Wed, 28 Oct 2009 05:55:59 +0000

Keep the card, make sure all the debt on it is paid off, and keep the account open, even if you never use it. The longer you have the card, the better it will be for your credit score. Also, try to apply for as few cards as possible. If you have a lot of applications, and tons of rejections, it will look bad on your credit.
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By: Josh L

Josh L — Wed, 28 Oct 2009 05:53:59 +0000

canceling a card before applying for another won’t hurt your credit. holding onto a card for a long time and maintaining it well will help your credit.

http://www.weeklybloopers.com
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By: Laissez-Faire Guy

Laissez-Faire Guy — Wed, 28 Oct 2009 05:51:59 +0000

No! In almost all cases canceling an existing card will harm your credit score.

How can this be you ask? Because a big part of your FICO score is based on a ratio of how much of a credit balance you carry vs. your total available credit. The lower that ratio the better. But if you cancel a card you lower your available credit and thus increase your ratio.

As long as this card doesn’t carry an annual fee, it doesn’t harm you. Cut it up if you want, but don’t close the account.
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By: Babypants♥

Babypants♥ — Wed, 28 Oct 2009 05:49:59 +0000

no. You should apply for a new one and then cancel the other one. The more credit you have, the better your score (depending on if you actually use it and pay on time, of course). As for keeping a card open, if you don't use the card and pay it off, your credit will not get better. Buy things that aren't too expensive and then pay them off. Don't buy things like food with credit cards, that adds up and leads to problems. If you're good about paying on time, your credit score will go up and you'll be fine.
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By: cupidgirl.

cupidgirl. — Wed, 28 Oct 2009 00:47:21 +0000

Is it better for my credit rating to cancel a credit card before applying for a new one?
or apply for the new one while the old acct is still open?
also what is the recommended amount of time to keep a credit card acct open for most benefit to credit rating?