Do you have too many new accounts on your credit report?

If you’re like most people, you probably have a lot of credit accounts – maybe even more than you need. It can be tempting to open new accounts just to increase your score on credit reports, but this might not be the best decision for your wallet. Here are four reasons you should stop adding new accounts to your credit report:

1. It can hurt your credit score. The more accounts you have on your credit report, the higher your risk of being declined for a loan or having to pay high interest rates on existing loans.

2. It can take up valuable space on your credit report. Each additional account requires one or more lines of information on your credit report, which could make it more difficult for lenders to see that you’re a responsible borrower.

3. It’s a waste of time and money. When you apply for a loan, landlords may ask for copies of your credit reports in order to make an informed decision about whether to rent to you. Plus, if something happens and one of your current accounts needs to be resolved (like if you miss a payment), it will take longer if all of your accounts are listed on your credit report rather than just one or two.

What is a credit report?

A credit report is a compilation of your credit history, which lenders can use to decide if you are a good credit risk.
Each time you borrow money, open a new account, or apply for a job, a company that offers credit evaluates your credit worthiness.
A good credit score indicates that you are likely to pay back your debts and remain on good financial footing.
The three major credit bureaus are Experian, TransUnion, and Equifax.
Credit reports can cost $10 to $30 each depending on the bureau and the type of report requested.
You can get your free credit report from each of the three major bureaus once per year at

How to get your free credit report?

If you’re like most people, you’ve probably got a lot of new accounts on your credit report. Here’s how to get a free credit report and clean up your credit score.

First, get a copy of your credit report from each of the three major credit bureaus: Experian, Equifax, and TransUnion. You can get a copy of your report for free every 12 months from all three agencies at (Just make sure you order by December 1st so you have time to receive the reports in time for the January 31st credit reporting deadline.)

Once you have your reports, it’s time to start cleaning them up. The first step is to identify any accounts that are older than 6 months and have been closed or inactive for more than 90 days. If an account has been open but has since been closed, suspended, or had its limit increased, it’s still considered active and should be deleted. This means you’ll need to contact the company that issued the account and ask them to delete it from your report.

If an account is older than 6 months but has been inactive for only 30 days, you can usually just leave

What are the different types of credit reports?

A credit report is a document that contains your credit history. There are three main types of credit reports: consumer, business, and mortgage. Each type of report has different terms and conditions that apply to it.

Your consumer credit report is compiled by the three major credit bureaus – Equifax, Experian, and TransUnion. This report includes all of your credit history, including loans you’ve taken out, the payments you’ve made on those loans, and any defaults on those loans. Your consumer credit report can damage your reputation if it’s inaccurate or if there are negative items included in it.

Your business credit report is compiled by one of the seven nationwide accounting firms: Accenture, Ernst & Young, PricewaterhouseCoopers (PwC), Deloitte & Touche LLP, KPMG LLP, and Grant Thornton LLP. This report includes information on the businesses you own or have owned and the debts you owe to them. If there are any liens against your business or if any of your businesses have been in bankruptcy, this information will be included in your business credit report.

Your mortgage credit report is compiled by one of the five nationwide mortgage companies

What is a negative on your credit report?

A negative on your credit report is when you have more accounts than you are allowed to have. This can make it harder to get approved for a loan, get insurance, or even land an apartment. If you think you may have too many new accounts, call Equifax and ask them to remove any that you don’t use often.

Can you improve your credit score?

If you have more than six new credit accounts in the past two years, you may want to consider contacting a credit counseling service. Opening and using new credit accounts is a good way to improve your credit score, but using too many can actually have the opposite effect. When your credit score falls below 620, lenders are less likely to loan you money, and you may be subject to higher interest rates on loans and other credit products.

If you’re not sure whether you have too many new accounts, you can check your credit report free of charge at You can also get a free copy of your report from each of the three major credit bureaus: Equifax, Experian and TransUnion. Once you have all the reports, review them carefully and decide what needs to be done to improve your score.

What to do if you have too many new accounts on your credit report

If you have opened more than 20 new accounts in the past two years, you may have too many accounts on your credit report and could be at risk for credit score decline. Here are three things to consider if you think you may have too many new accounts:

1. Review your credit utilization percentage. This is the percentage of your total available credit that you’re using. If it’s above 30%, you may want to consider closing some of your new accounts and consolidating them into fewer, higher-credit-score accounts.

2. Consider getting a credit monitoring service. A monitoring service will alert you if your credit score declines, so you can take appropriate action.

3. Contact the credit bureaus to ask them to remove any of the new accounts that are causing your score to decline.


If you are feeling overwhelmed by all of the new accounts added to your credit report in the past year, don’t worry. You probably don’t have too many new accounts on your credit report. The number of new accounts that is reported to the three major credit reporting agencies varies from time to time, but it usually hovers around 300 per month. It is important to note that adding an account onto your credit report doesn’t mean it’s bad or risky – it just means that someone has decided to give it a shot and is using it as a form of borrowing.