Episode #3: Churning, Burning, and Your Credit Score

In episode #3 of this soon-to-be award-winning podcast, I talk about how churning and burning credit cards can impact your credit score.

More detailed notes can be found on a post I did earlier on this very topic: How a Churn and Burn Credit Card Strategy Impacts Your Credit

Some key points:

Establish your own value structure when looking to implement any credit strategy
Churning and burning can be an effective way to establish loyalty and reap significant points
We just can’t let spending get out of control
Always know that your normal spending covers the required, initial spend

Here’s a quick breakdown of how your score is calculated (FICO):

35% – payment history

30% – amounts owed (credit limit utilization ratio)

15% – length of history

10% – credit mix

10% – new credit

In future episodes, I’ll discuss some of my favorite cards and my credit strategy. Thanks, as always, for listening. Let me know what you think!