Does multiple credit cards with high credit line but zero balance effect your credit score?

If you have like $50,000 credit limit on your credit cards but pay off all the balance ( average $ 1000) every month, does it effect your future loans( like applying for mortgage or auto finance) ? (some say you have too much credit line)

Does multiple credit cards with high credit line but zero balance effect your credit score?

The short answer is %26quot;yes.%26quot;

The longer answer is %26quot;the amount of credit you have available to you is one factor among many that determines your credit worthiness. Alone, having a $50k credit limit with $0 debt will not prohibit you from nor qualify you for a loan.%26quot;

I%26#039;ve included more information below. I think the best one is epic.org which outlines the percentage of your score that is attributed to each factor.

By the way, the reason that having such a high available credit line is potentially considered a negative contributor to your overall score is because you have the ability to use that entire credit line and your income may not support that.

Does multiple credit cards with high credit line but zero balance effect your credit score?

Yes, it can. They still count the amount of %26quot;available credit%26quot; that you have open. This site has lots of info on how to keep your score high:

http://www.creditbureau.com/faq.html

Good luck!

Does multiple credit cards with high credit line but zero balance effect your credit score?

Your credit report will show all open revolving credit accounts. So if you have $50,000 in credit cards that have a zero balance that will be a factor in whether or not you get the loan from the company. I would say close a few of them before applying for a loan. Too many open revolving credit accounts is a bad thing if you%26#039;re looking to get another loan.

Does multiple credit cards with high credit line but zero balance effect your credit score?

No.

Does multiple credit cards with high credit line but zero balance effect your credit score?

Yes they are right. A lender will factor in not only what you owe but more importantly what you could spend. So I lend you $10,000 dolars but you could get in trouble and charge $50,000 more because you are in the hole? Close down your lines of credit to just a few basic ones. This will show responsibilty and not appear to be a person who relies on credit. All you really need is one Visa card. No store cards or anything like that as that as well shows irresponsibility as they have high interest rates.

Does multiple credit cards with high credit line but zero balance effect your credit score?

Most everything effects your credit. Having high credit limit with a low balance will be a positive thing.

Always keep (if possible) credit balances below 40% for the biggest positive impact on your credit.

Lenders only take payment into consideration when making new loans, so a high credit limit will not hurt you.

What ever you do don%26#039;t close the accounts. I have seen a lot of people do this thinking it will help improve there score, and it most likely will hurt your score. By closing a high limit account, you lower your overall credit and that will increase your overall debt to credit ratio and if the accounts have been in place over 24 months, that%26#039;s what lenders want to see, good or great credit with long term accounts.

Does multiple credit cards with high credit line but zero balance effect your credit score?

to answer your second ???--no it is not a problem to reduce your credit lines. Call the companies and make the request. Be sure to wait 30-60 days for the information to update on your credit report.