221 People Helped
Member Since: August 2014
What I've learned more than anything in the almost 20 years I've been on file with the bureaus is, KEEP YOUR OLDEST ACCOUNTS OPEN even if you don't intend on using them. They are your proverbial stake in the ground when it comes to "credit history." Replacing those accounts with new ones is entirely permissible, just don't close them in the process, at least not without realizing the consequences.
Additionally, I can't agree more with the fact paying off your credit cards each month is strongly advised. The bureaus need to see there's been activity on your account, but it's not as important to them if you choose to carry a small balance. Paying interest just to play that game is unnecessary and ill advised.
Finally, don't get caught in the cash rewards trap unless you've planned well ahead. Have a clear cut strategy if you're going to get involved in points/cash back, or else expect to overspend just to "earn" your reward(s), even though spending less and keeping your own money in the bank instead of with the CC companies would have been a wiser choice.
Spend less or save more, and you'll do all right.
CW44's response was: