accounts for rewards

Opening new accounts for rewards or sign-up bonuses is a popular hobby. However, this strategy is another that can backfire if you take it too far. While you'll earn more credit card rewards by opening new accounts and earning incentives, you credit score may tumble if you rack up too many hard inquiries in a short length of time. To avoid the pain, you should only open new credit accounts once or twice per year – or when you really need them.

#4 Closing Old Accounts for No Reason
Just like opening new accounts can harm your score, closing old ones can cause a negative impact, too. The VantageScore 3.0 scoring model looks to the age of your credit history – as well as your credit mix – as one of the biggest influences on your score. Since closing old accounts shortens your credit history, it can have a larger negative impact than one might think. If you want to get the most out of your credit, keep old accounts open – even if you aren't using them.

#5 Forgetting About Old Bills
If you have any old issues on your credit report and haven't taken the time to clear them up, don't be surprised when they drag down your credit score over time. The impact of old bills – no matter how small – shouldn't be underestimated when it comes to how they might impact your score. Even letting a small, forgotten bill like a utility bill can cause your score to drop in a hurry. To check your report for any old bills that continue to linger, you can get a free copy of your credit report from all three credit reporting agencies – Experian, Equifax, and TransUnion – by using AnnualCreditReport.com once per year. If you find any delinquent or forgotten bills, call up your creditor and pay them off right away.

Final Thoughts
While a lot of factors influence your credit score, most of them are within your control. The key to improving your score is knowing how your behavior influences credit over time, and making moves that will actually boost your score instead of hurting it. Whe