Q&A: how many secured loans can I have open at credit union at on time?
Question by armored heart: how many secured loans can I have open at credit union at on time?
How many secured loans can I have open at once? Is there a limit?
I have one for $ 300, with $ 25 payments for next 12 months
I am adding another for $ 5000, payments of $ 90 for next 24 months
Also one of my student loans for $ 2100, payments of $ 90 for next 24 months
(Roughly, $ 200 per month to cover these 3 to build my credit.)
Is this okay? Would I still be able to open more? Or only at other places like dept stores?
Answer by Go with the flow
1 loan is all you need to build credit.
Make payments for 1 year.
Any more is 100% useless.
A mix of credit is 10% of your score and the same kind of loans do not change this.
A paid off loan can report positively for 10 years after it is paid off.
Do not add another loan. You simply do not need it.
It will not bring you any benefit of any kind.
It will simply be a waste of money.
You also have a student loan? Your mix of credit is just fine then.
Why do you need so much credit?
I got my first apartment without any credit.
All you need is to be financially stable with savings and income.
Do you want a car?
I got my first car without credit. (paying rent and utilties do not build credit).
I put 20% down and showed them that I had a job for a year.
Honestly, stop worrying about credit. You are really doing perfectly as is.
What do you think? Answer below!