I have 3 credit cards currently, no auto loan and a mortgage. According to Credit Karma, the advice is I need to have more accounts open to boost my credit rating. Is this true?


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  • Official comment
    Stilt Team

    You don’t need to open different types of credit lines just to improve your credit rating.

    The number of lines and the types of lines are important, but they won’t make or break your life instantly.

    Adding a variety of lines is definitely helpful. As you increase your income and build up credit over time, you can get different types of credit over time. CreditKarma’s advice is pretty generic and doesn’t take into account your goals, income, and obligations.

    If you continue to make payments on your current credit products and have a good credit utilization, your credit score will continue to increase.

    This is directly from their blog - Types of Credit - Implications for Your Credit Score

    As their expert says - “It's important to only open new accounts when you can afford them (a derogatory mark will likely do more damage than a lack of variety, after all). Still, if your report is stuffed full of credit cards and you need a new source of credit, choosing a loan instead of a credit card might be a good move next time you're in need of a new line of credit.

    About Stilt:

    Stilt provides loans to international students and working professionals in the U.S. at rates lower than any other lender. Learn more about us on wikipedia or visit us at https://www.stilt.co. If you have any questions, send us an email at team@stilt.co.

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