Should i get another credit card

If your score has improved since you got your last card, you may qualify for a card with rewards and benefits you couldn't have before. Or if you've only been an authorized user on another person's card, you might explore getting your own.

Applying for another credit card could also be worth it if your credit file is "thin" or an additional card could improve your credit utilization ratio—the credit you're using relative to your overall credit limit. Here's how to know when it's time to apply, and when it could be better to wait. While hard inquiries have a negative impact on your score, the effect you'll see depends on the number of accounts you have and the length of your credit history.

If you have a limited credit file, you'll likely see a bigger impact. One hard inquiry results in a drop of less than five points for the typical consumer, according to FICO.

If your application is denied , lenders must tell you why and provide information on how to access your free credit report. It's possible the lender determined you have too much debt compared to your current credit limit, that you don't have a long enough credit history, or that you have too many missed or late payments. Contact the lender if any of your circumstances have changed since you applied for the card—perhaps you paid off another balance or increased your income, for instance.

Request that the lender reconsider your application. If the answer is still no, refer to your credit report and aim to address the negative information that may have contributed to your rejection.

Know When the Time Is Right A new credit card could net you more premium benefits , like higher cash-back rates, primary rental car insurance or no foreign transaction fees. It could also mean a lower APR which will save you money if you carry a balance month to month.

But make sure you're ready for the responsibility of another card. If you're not sure you'll qualify, or you applied and got rejected at first, view your free credit score.

Then you can take action on any factors keeping you from accessing a potentially worthwhile new card. Don't Apply Blindly Apply for credit cards confidently with personalized offers based on your credit profile. The purpose of this question submission tool is to provide general education on credit reporting.

The Ask Experian team cannot respond to each question individually. However, if your question is of interest to a wide audience of consumers, the Experian team may include it in a future post and may also share responses in its social media outreach. If the new credit card is your first account, however, it may take some time before it counts in your credit score. FICO, for example, requires you to.

When your reports show diversity, it can be good for your credit scores. For example, if you only have installment loans, adding a credit card can boost your scores by adding a revolving account. There are a few scenarios where a new credit card might result in credit score damage. In addition to your payment history and credit utilization, credit scores also pay attention to your length of credit history.

When you open a new credit card, the average age of accounts on your credit reports may decline. Your score might go down a bit as a result. When you apply for a new account, you give a lender permission to access your credit report. This type of credit access is known as a hard inquiry. Although it can be tempting to jump on an attractive credit card offer, you should take a moment to consider a few factors before you fill out the application.

Think about what you want to do with your credit over the next three to six months. Do you have plans to apply for a new mortgage? Are you going to finance a new vehicle? Credit card issuers will check your credit when you apply for a new account. You want to make sure your credit is in the best shape possible before you fill out an application. If you discover any credit reporting errors or suspicious information, you have the right to dispute those mistakes with the credit bureaus.

Thanks to the Fair Credit Reporting Act, you can access a free credit report from Experian, TransUnion and Equifax once every 12 months free every week through April Your free reports are available at AnnualCreditReport. When you use a credit card responsibly, it can help you build credit and earn valuable rewards in the process. A credit card is also one of the safest ways to pay for transactions thanks to the robust fraud protections available through the Fair Credit Billing Act.

But there are some instances where a new credit card might not be a good fit for you—at least not for now. As mentioned, if you plan to apply for major financing in the next three to six months, you may want to put off all non-essential credit applications in the interim. This bad financial habit could also trigger an increase in your credit utilization rate. Higher credit utilization might lower your credit score even if you keep your monthly payments on time.

Are you worried the additional credit limit of a new credit card will be too tempting? Select Region. Not sure what card you might qualify for? Ultimately, only you can make that decision for yourself.

Monitoring and knowing your credit score are also important. Government and private relief efforts vary by location and may have changed since this article was published.

Consult a financial adviser or the relevant government agencies and private lenders for the most current information. We hope you found this helpful. Our content is not intended to provide legal, investment or financial advice or to indicate that a particular Capital One product or service is available or right for you. For specific advice about your unique circumstances, consider talking with a qualified professional.

It may not be the same model your lender uses, but it is an accurate measure of your credit health. The availability of the CreditWise tool depends on our ability to obtain your credit history from TransUnion. Some monitoring and alerts may not be available to you if the information you enter at enrollment does not match the information in your credit file at or you do not have a file at one or more consumer reporting agencies.

Which Capital One credit card is right for you? Compare cards online to find out. What to consider before applying for another credit card. Here are some signs you may be ready to introduce another credit card to your wallet: Your credit score has recently improved.

You may have a wider selection of credit cards to choose from with an improved credit score.