Is having several open accounts in good standing good for my credit scores?
Having several accounts is not necessarily going to make your scores better there is a fine line between having too many accounts that are revolving (credit cards, gas cards etc) and not having enough. The rule of thumb is have at least four revolving accounts and two installment accounts (car, home and furniture loans etc) Having accounts that are open with zero balances is better than having accounts open with balances of more than 30% of the credit limit. So if you have ten open accounts and only two have balances this would allow you more open accounts than a person with four open accounts and all showing balances of over 30%. No one knows exactly how credit scores are calculated … however, we do know that a person who is 80 years old with zero balance credit cards, a car payment in good standing and a home loan paid off or in good standing scores in the 800’s. Not many people under the age of 50 can score in the 800’s because they have not had credit for 50 years and age has a l
