takeshi wrote:Despite the popularity of the meme, you don't have to hoard credit for good credit. I don't keep anything open that is of no use to me and my FICO 8's are all in the low 800's.
I think that this is key. Some people over-think/over-calculate what they do with regards to credit cards.
If you just:
- pay your bills on time
- keep your debt low (no debt even better)
- don't go nuts on applying for new cards
...then you're pretty much OK. All you're trying to be is responsible. If you do nutty things (like try to open 5+ cards at once or maybe max out your current credit cards) then you look irresponsible. If you close an older account that you really no longer have the need for then that's not irresponsible.
Ultimately the banks just want to be paid back and make a little money in loan to you. The riskier you appear to them the more you're going to pay.