Opening up Credit Cards for Points Bonus + Lounge Passes

Tech5 on 01/05/2018 - 09:37
Last edited 01/05/2018 - 09:40

I'm looking at opening one or two cards this year for the Qantas points and lounge passes. In addition, I plan on keeping one of them for day to day purchases.

Are there any big negative effects of opening these cards on my Credit? Is it unwise just to open cards for points?

Anything I put on them will always be paid off before any interest is charged.

On a side note, my credit score is around 620, which has not changed for almost the past year. This is even when I put through around 5-10,000 per month on an Amex Platinum, and a little bit on an Amex Platinum Edge. Should this be the case? Is my score too low to be doing something like this?

Cheers

Financial Credit Card Reward Points

Comments

  • gaz3342 on 01/05/2018 - 09:51

    I opened two new cards and closed an old one in January, my credit score plunged from 700 to 340 (ouch) but then recovered and actually increased to 740 after two months.

    As long as you always make payments on time and don't have lots of cards with lots of debt you'll be fine.

    • Tech5 on 01/05/2018 - 14:06

      That was a lot of movement just on two new cards. I did read about the usage %, not to go over 2-30% of total credit limit

  • xeion on 01/05/2018 - 12:13

    If you are looking to borrow for a house in the future, it would be best to hold off until after the loan is approved.

    • mbck on 01/05/2018 - 12:40
      +1

      Why negged?

    • Tech5 on 01/05/2018 - 14:05

      Not my neg. Thanks for the info, although I don't think credit score matters much due to the profession I am in.

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