FlyerTalk Forums - View Single Post - Churning Credit Cards? Also - ideas for a college student?
Old Feb 11, 2010 | 7:12 pm
  #7  
Boraxo
FlyerTalk Evangelist
1M
2M
50 Countries Visited
20 Years on Site
 
Join Date: Dec 2002
Location: Danville, CA, USA;
Programs: UA 1MM, WN CP, Marriott LT Plat, Hilton Gold, IC Plat
Posts: 18,075
I don't think it would be too bright to churn cards as a college student. One of the key FICO score factors is number of inquiries, so your score will tank if you do more than a couple a year. Another critical factor is length of credit record, yours is already pretty short which means the inquiries and number of recent accounts opened will hurt even more.

Best thing to do would be to find 1 good card, then maybe add another card each year. In 4 years you'll have 4 cards, all with good payment records, hopefully good utilization ratios (i.e. low balances) and a good history - even better if you have student loans or car loans as lenders like to see other types of credit on your report. Not that you should immediately borrow to buy a car if you don't have the money, but ironically more loans will often bump your score.

By contrast if you just open and close multiple accounts within a year when you have no history, your score will eventually drop to where you probably won't qualify for another card, even if you have decent income.
Boraxo is offline