should I get another credit card to help my credit score?

Well, it really depends. If you make timely payments on the car loan that will help your score improve over time too. A credit card might increase your score because it would show that you have more available credit to use, and therefore your percent of overall utilization on your credit cards would decrease. However, you want to use caution when applying for a credit card, and not put in too many applications at once for different companies; too many inquiries by potential creditors looking to extend your credit will hurt your score as well.

The FICO scores are calculated on the basis of credit that you have managed. Your scores will be better if you have managed your credit wisely and the accounts are open since a long time. For example, an account having a good credit history since 5 - 6 years must not be closed. At the same time, opening new lines of credit will take some time to rebuild credit history. For now, your scores will be lowered by a few points.

I have read that paying the balance in full each time does not help your credit score as far as building a credit history, that it's best to pay the minimum and a bit more for a few months, as this shows that you are repaying the credit extended to you on time, etc. Seems like a contradiction, as that is what you're doing when you pay the balance in full.

I don't know if taking on another credit card is going to help if your score dropped when you got the auto loan. It's such a big game.... when I bought my first house, I was advised to close all my store cards even though they had $0 balances, because this would be viewed as credit that I could run up while we were in the closing process. A few years later, you read something different as far as what to keep open, what types of accounts to have, etc.

Hopefully someone else on here can enlighten you with more sound advice. Welcome to the States! Sounds like you're off to a great start with your credit, though. When I lived in Britain, I couldn't couldn't get any credit at all because I wasn't on the electoral register to vote. Seemed odd that they base credit on whether or not you register to vote, but it was kind of nice not having to worry about credit and paying on cards and such.

Hi Steve
In my opinion getting another credit card is not a good idea. Because when you will be making an application for the card it will be considered as a hard inquiry and will adversely affect your score. Secondly, even after getting the card, the card company will take a few weeks to start reporting your score until you have a balance. The best way to boost up your score is to pay all your bills on time.
Good luck
Nelly

Steve,
Just keep doing what you are doing. Don't take on more than you can handle. Just because you can get it does not mean you need it. Your credit score will go down if you get another card. i.e. hard inquiry plus another extension of credit. just pay what you have ontime and the cards you have will get limit increases if you ask and your account is in good standing. Just be careful too much can drown anyone.

I have to agree with the advice offered above - be careful not to overextend yourself. It would be easy to get into a very deep financial hole if something went wrong (sudden illness in the family, job loss, etc.) and you were unable to make the payments you've been able to cover previously.

I would advise you to simply keep paying on time, and keep an eye on your credit reports - dispute anything that shows up as inaccurate - and watch your scores rise. To be honest, many people would be very happy with the score you have - but I understand your desire to improve it.

I agree with Suebeehoney. Credit report monitoring is indeed very important. Credit report is in a way our financial resume. It is used as an indicator of our trustworthiness. Having a bad credit report can not only get us turned down for a loan but also for an apartment or may be a job. Moreover we live in an age where identity theft is on the rise, so we must regularly monitor to ensure our identity protection.

Credit score is not a static number, it changes as creditors and lenders constantly report new information about us to the credit agencies. So, we must keep ourselves updated with the information that our creditors are providing.

I believe credit score is that pivotal point in our lives around which our financial life centers. So, we must be careful in handling our finances, because one mistake on our part can really ruin our financial life.

Take care
Nelly