Any recommendation for a long term (open) credit card

[KingHuang]

Hey gang,

Anyone got a recommendation on a CC that they just keep for the sake of having an account history and not for using? I think I read previously some people do this to demonstrate credit age etc and repayment history (on the 1 card) if you decide to churn the others:

With this is mind, looking for a card that is:
- non Amex (waiting to sign up for bonus)
- doesn't interfere with the general churning (This point might answer the question - but still looking for recommendations)
- doesn't automatically close off due to inactivity (limit and AF I would imagine to be very low or non existent - would this be what you would look for also?)

Thank you!

 

[Chicken]

Other than AmEx, I keep my Bankwest Qantas Platinum on a permanently basis, don't churn don't cancel. It has no forex fee, comes with an OK travel insurance policy which does not have any activation (spend) requirement, only $160 per year. It's a keeper.

 

[Human]

I think I read previously some people do this to demonstrate credit age etc and repayment history (on the 1 card) if you decide to churn the others:

Did you read this on an American website, by any chance?

Credit card age is a factor that positively influences credit ratings in the USA, but not in Australia where credit scores are calculated differently.

 

[KingHuang]

Did you read this on an American website, by any chance?

Credit card age is a factor that positively influences credit ratings in the USA, but not in Australia where credit scores are calculated differently.

It might have been, perhaps it was from the US AMEX strategy thread. So having an account or long standing account in Australia doesn’t matter at all?

Other than AmEx, I keep my Bankwest Qantas Platinum on a permanently basis, don't churn don't cancel. It has no forex fee, comes with an OK travel insurance policy which does not have any activation (spend) requirement, only $160 per year. It's a keeper.

Perfect, I was tossing up between Bankwest platinum/world (I think world is slightly better insurance coverage) or CBA Ultimate both being a choice due to the no FX as well!

 

[Chicken]

It might have been, perhaps it was from the US AMEX strategy thread. So having an account or long standing account in Australia doesn’t matter at all?

No, and actually, the more cards hence more credit limit you have, the harder to get approval.

Perfect, I was tossing up between Bankwest platinum/world (I think world is slightly better insurance coverage) or CBA Ultimate both being a choice due to the no FX as well!

I decided to get platinum instead of world, because it has a lower annual fee, and I only use it for overseas transactions, I don't spend much on this card, so it would not worth me paying a higher annual fee.

 

[Human]

So having an account or long standing account in Australia doesn’t matter at all?

In the USA, one of the things influencing credit ratings is the percentage of available credit used. So it makes sense to have lots of credit cards, becasue if they add up to, say, a combined credit rating of $100,000 but you only have $5000 owing on your card at any time, that means that 95% of your credit is unused. That is counted as a positive towards your credit rating.

In Australia, what negatively affects credit rating is the total amount of credit available (whether it's used or not). So the more cards you have, even if you never use them, the greater is the downward pressure on your credit rating.

 

[asterix]

I've had my Citi credit card since 1997 it has served me well over the years but has only had online use and PayAll transactions since Citi deprecated domestic in person transaction earn a few years ago. It is fee free for life so I'll see what happens in June next year when a replacement card is due to be sent out.

 

[Chicken]

It is fee free for life

I have this too, and I would never cancel it, with Priority Pass access. Diners offered me a free for life card 20 years ago, I didn't take it, and I regretted my decision for the next 20 years.

 

[Mattg]

Other than AmEx, I keep my Bankwest Qantas Platinum on a permanently basis, don't churn don't cancel. It has no forex fee, comes with an OK travel insurance policy which does not have any activation (spend) requirement, only $160 per year. It's a keeper.

This is the card that I keep open, too. I've had it for several years and the credit limit on it is only $3,000, so it doesn't interfere too much with applying for other cards. I do use it when travelling overseas due to no forex fees and the ability to earn QF points.