I am 21 years old and I want to start building my credit, I already have 3 credit cards and 1 Texaco card. How many credit cards is it OK to have? I've heard that is better to have at least more than 2, but not too many either. Should I use all 3 credit cards once in a while (small purchases just to keep them active) or is it better to keep them with zero balance? I only use one (the one with the lowest rate. Can they cancel your credit card if you don't use it for a period of time? When applying for credit or a car loan, etc. do lenders want to see your credit cards with zero balance or do they want to see that you use your credit and make payments on time? All information possible will be greatly appreciated. Thanks!
<I am 21 years old and I want to start building my credit.> You should have a reason for building your credit. A young person as yourself can get into deep trouble, if you do not manage your credit properly. <I already have 3 credit cards and 1 Texaco card. How many credit cards is it OK to have?> How many lines is the right amount depends on what your intent is. <I've heard that is better to have at least more than 2, but not too many either.> I have 48 accounts in good standing. I use my credit only to make money. <Should I use all 3 credit cards once in a while (small purchases just to keep them active) or is it better to keep them with zero balance?> I keep the majority of the cards at zero balance. I do use them often, but I let the creditor dictate the pace. Whenever I get an offer I use it. <I only use one (the one with the lowest rate.> That is a good idea. <Can they cancel your credit card if you don't use it for a period of time?> Yes, they can. <When applying for credit or a car loan, etc. do lenders want to see your credit cards with zero balance or do they want to see that you use your credit and make payments on time?> They want to see your ability to make payments and to make them on time. Hope this helps. http://www.creditsense.com
