Today we open the doors wide on my credit score history so you can see how applying for multiple credit cards impacts your credit score.
Because I really want to make it easy for you, I’m going to be transparent and list the cards I applied for between each application. That way you can see the direct relationship between frequency of new applications and your credit score.
In order for this to be valuable to you, you should know that I pay off my balance every month. In fact, if I couldn’t pay off my balance, I wouldn’t be doing the miles hobby, as it wouldn’t be profitable. This game is only for the responsible and organized.
Also, if you are planning to get a large loan like a house mortgage in the next few years, you probably wouldn’t want to apply for this many credit cards. I’ve read reports where people who extensively apply for credit cards still get decent loans, but it might not be a risk you want to take.
Note: These are my actual FICO scores, not approximate scores from Credit Sesame or Credit Karma.
In the list below I list the date of the score and the change from the period before. I also list all the credit cards I applied for between each credit score inquiry.
How Multiple Credit Card Applications Impact Your Credit Score
7/7/11 – 786 to 751
10/5/11 – 751-772
- Citi Premier
1/3/12 – 772 – 771
- Chase Southwest personal
- Chase Southwest business
- Hilton American Express
- Capital One Venture Rewards
- American Express Platinum
- US Airways Barclays
4/9/2012 – 771-759
- The Business Gold Rewards Card® from American Express OPEN
- Ink Bold
- Citi AAdvantage Visa
- Citi AAdvantage American Express
7/7/2012 – 759 to 768
- Hawaiian Visa
- Hawaiian Visa
- Starwood American Express
- Citi AAdvantage Business
10/5/12 – 768 to 771
Credit Score and Credit Card Impact Summary Notes:
In the last 18ish months, I’ve applied for 19 credit cards. My score was as high as 786 at one point. My score is now 771. This means my credit score is now 15 points lower than it was some time ago.
Through those sign up bonuses on those various cards I’ve earn approximately 970,000 in miles and points.
Thus, each point drop in my credit score has resulted with an average of 64,666 miles.
Yes, your credit score is impacted by applying for multiple credit cards, but it won’t be as drastic as you might think.