Opening Credit Cards Improved My Credit Score

The headline says it all. Before diving headlong into the world of credit cards, points, miles and upper class travel, I had heard this stated. Sitting on the outside it may be hard to believe that opening credit cards in quick succession can actually improve your credit score. This fact is completely antithetical to what we've been taught about credit scores. I'll admit to being a little weary going into my first credit card opening.

Now I'm fully submerged and it is a world of international first class travel, lie flat seats, and superior airline food. Not for one second do I regret entering this hobby, and it has allowed me to fly multiple times in first and business class cabins. I'm gearing up for an incredible journey of business class and first class flights on British Airways, Qatar, Emirates and more. I'm even planning to take me and my fiancee on a journey overseas for our honeymoon for little to no money out of pocket.

As far as the credit score goes, I can attest to all the promises about improved credit scores. Since I started this about 1 year ago, I've been tracking my credit score and over the past year it has increased by up to 36 points in some cases. Credit tracking can be a little odd at times, showing declines over a temporary high balance that you paid off, but didn't show on the credit score that month, or some other oddities that sometimes work in your favor. All in all though, if you track the score over time, it has increased steadily over the past year.

Here is my chart over the last year.

As you can see, I started at a decent but not a mind blowing credit score. Over the past year it has increased to a point where it is very good, borderline excellent. Always keep in mind that you need to pay off your credit cards every month, and never let a balance carry. This is one of the single most important things to remember about the game of points. The second you start carrying balances, the good becomes bad, and your score will suffer. If you can keep on top of it and track everything, then you will see the benefits on your credit score.