Is it smart to open a new credit card.

Question

Currently i have 5 credit cards and i was wondering if it would be more smart to open up a new one with a higher balance availabilty to pay them off and just pay back the one.

what do you think??

Answer 1

OMG!!! Cut them all up, and concentrate on paying them off!!!! You are just digging a hole to bankruptcy if you keep going this way. Trust me I know~ I was in this exact same situation and fortunately I went to the bank and they straightened me out and I got out of debt. I have never had a credit card since, and my overall credit is excellent.  

Answer 2

nooooooooooooo stop applying. you don't need 5 cards in the first place let alone applying for another one.

your debt to income ratio and availabe credit is going to do your credit score more harm than good.

just pay off any existing balances on the cards you have. keep 2 in use. do NOT close the other 3 ...just stop using them...don't close the account...that'll make your score drop.

geeze man.

Answer 3

Several things impact that decision.

1. Interest rate of the cards opened vs rates of the card you will open.

2. Current balances

3.  Your intentions on shopping for things in the near future.

Consolidating credit cards is good if you can lower your interest rate and save money monthly as well as over the long haul.  Closing accounts in good standing can have a negative impact on your credit score, as can too many open accounts.

If you're lowing your interest and saving money, then consolidating will work, make sure you don't just run up the cards you just paid off.  Close them out one every few months.

Answer 4

Having cards with rewards is the goal!  Start applying for Discover's reward card (or something you choose with rewards).

When you get it, you can cancel the lowest credit line card if you wish.

If you leave it open, will help your debt to credit ratio.  But, having too many cards gets difficult to manage.  Its your choice to cancel any card.