Too few revolving accounts

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I got my credit report a couple of weeks ago and it says something like i don't have enough revolving accounts. Does it mean that i need to open more credit card accounts?
I have a Credit Union CC, a Chase CC, and a Macy's CC.

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in a word yes, but dont open too many at one time as that will lower your average age of accts open which can be just as bad.

Dongky, there are tons of great threads on FWF about good credit card offers. I suggest finding a good one and opening up an account. You are low on CC accounts, but honestly, having 4 accounts open, for a decent length of time is usually enough to prevent you from getting "too few revolving account" problems.

As suggested earlier, the length of time the accounts have been open is very important, so open a card or two more, and keep those old ones open unless they are causing you some sort of problem.

dodgeman007 said: [Q]in a word yes, but dont open too many at one time as that will lower your average age of accts open which can be just as bad.

Not a problem long term. May be a mini AOR will do the body (credit history) good, but you'll want to be careful and go for the cards that are a bit easier to get.

gas cards and dept store cards are very very easy to get and it doesn't even matter if you ever plan on using them just get them open.

every credit report cites some negative factor as a reason your score isn't higher

think of it more as a suggestion on how to improve your score instead of as a negative (ie: getting new cards is not necessary)

Check to see if your credit report lists all 3 cards. As that isn't really a 'low' number, I wouldn't be surprised if your credit report only reflect 1 or 2 of those accounts.

Did your report include your credit score?

theman2 said: [Q]every credit report cites some negative factor as a reason your score isn't higher

think of it more as a suggestion on how to improve your score instead of as a negative (ie: getting new cards is not necessary)

Check to see if your credit report lists all 3 cards. As that isn't really a 'low' number, I wouldn't be surprised if your credit report only reflect 1 or 2 of those accounts.

Especially when they sell ad space to credit card companies. <img src="i/expressions/face-icon-small-happy.gif" border=0>

With just those as negatives you probably have a good score. If you want a better picture of your true report you should go to MyFico. I subscribe to both TrueCredit and MyFico. Below is an example of the differences in the two.
This is from TrueCredit who show my FAKO Experian at 780
Scott, here's where you can improve:

Not enough revolving debt experience. [TransUnion, Experian, Equifax] A healthy balance of credit and loan accounts is key to achieving a high credit score. It is important to build a record of responsible credit use over time with different types of accounts. Consider opening a new account to strengthen your credit report and improve your score.

( I have an RBS, Chase, MBNA Patriots, and MBNA Quantum card for a total CL of $92,500 CL)


There are not enough accounts in good standing on your credit report. [TransUnion, Experian] Having credit available to you is a sign that you are able to manage your finances responsibly. Lenders like to see that consumers have a large amount of credit available to them, but not so much that they could spend more than they could afford to pay back. If you currently have multiple accounts open with high balances, try reducing your balances below 35 percent of your limits to improve your score. If you do not have many open accounts, consider opening a new credit account or asking your creditors to increase your limits in order to improve your credit score.

( Not sure what the heck this means as I pay early and usually show zero utilization)

There are too many inquiries on your credit report. [Experian] When lenders review your credit report for the purpose of an application, an inquiry is placed on the credit report they checked. A few inquiries a year is normal, but multiple inquiries within a short time frame may cause a temporary drop in your credit score. If you have many recent inquiries, lenders may assume that you are having financial problems. Avoid unnecessary inquiries by only applying for credit cards or loans that you are sure you want.

( I am down to showing 2 inquires on Experian and none on TU and Equifax)

There are not enough premium bankcard accounts on your credit report. [Equifax] A healthy balance of credit and loan accounts is key to achieving a high credit score. It is important to build a record of responsible credit use over time with different types of accounts. Consider opening a new account to strengthen your credit report and improve your score.
( I guess they don't consider Chase, MBNA or RBS as premium? )

Your oldest bankcard has not been open long enough. [Equifax] Time is one of the most important factors for a healthy credit score. The longer your accounts have been opened, the better they are perceived by lenders. Opening new accounts can cause your credit to appear unstable, because a record of responsible use has not yet been established for the account. Your credit score will improve as you keep your new accounts open, active and paid on-time.
( Two of my cards were opened in the last 6 months because it seems they told me too)

Now this is from MyFico who has my real Experian FICO at 828

Negative Factors
Here are the top factors where you have the most opportunity to take action that will increase your FICO score over time (they are listed in priority of impact on your score):

You have recently been seeking credit or other services, as reflected by the number of inquiries posted on your credit file in the last 12 months More information
You have too many accounts that were recently opened



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