Cancellation Of A Credit Card
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Posted: Thu Aug 12, 2004 1:48 pm
Post subject: Cancellation Of A Credit Card
ALAN
Date: 6/27/2001 9:55 pm CDT
I would like to close one of my 3 open credit lines. I would only like 2 lines. Since 2 out of 3 lines are cash back cards, I only need one of these, there is no sense in having 2. Does cancelling a card reflect negatively on ones credit report? Does the closing of an account cause ones FICO score to go down. I must verify that the company puts: Closed At Consumers Request on the credit reports, correct? Should I mail them a letter stating that I want the account closed as well as alert them by phone? I really don't need all of the open credit lines and limits that I have. I never get anywhere close to using them. Its getting too frustrating switching from card to card at the stores and getting numerous statements in the mail. I would like to buy a car within the next few months. By closing an account now, will this look bad on my credit reports when the car dealership investigates my credit situation? Any help would be greatly appreciated.
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Posted: Thu Aug 12, 2004 1:49 pm
Post subject: Cancellation Of A Credit Card
Ed Mason
Date: 6/27/2001 10:49 pm CDT
Alan,
It will not hurt your credit at all, in fact in may help in someways, especially if you go for home loans, ect.. I would however ask each of the Credit card Companies that you ask to close your accounts to send you a letter stating that they are closed by you and not the Company
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Posted: Thu Aug 12, 2004 1:49 pm
Post subject: Cancellation Of A Credit Card
: Scott
Date: 6/28/2001 2:38 am CDT
Personally I don't think you should close the account. Did you apply for something and get denied for reason "Too many bank or national revolving accounts"? Remember that you are also killing an account with age and age matters. Also you are now more sensitive to changes with only 2: Max out one card and now you're at 50% usage instead of 33%; one card reports wrong and now you have only 1 good looking line. I definitely agree with Ed about the letter if you choose to close it though. If your only credit goal is to buy a car in a few months, I definitely wouldnt close it. I would just make sure you have 0 inquiries until that time, and get your credit reports and make sure they are accurate. (Note: i'd go ahead and spend the $30 or so it would take to get them from the CRAs directly so you KNOW there are no hard inquires and also go ahead and check your Beacon FICO score.) If you close the accoutn and its reported wrong, that could take a while for you to realize and straighten out.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Posted: Thu Aug 12, 2004 1:48 pm
Post subject: Cancellation Of A Credit Card
ALAN
Date: 6/27/2001 9:55 pm CDT
I would like to close one of my 3 open credit lines. I would only like 2 lines. Since 2 out of 3 lines are cash back cards, I only need one of these, there is no sense in having 2. Does cancelling a card reflect negatively on ones credit report? Does the closing of an account cause ones FICO score to go down. I must verify that the company puts: Closed At Consumers Request on the credit reports, correct? Should I mail them a letter stating that I want the account closed as well as alert them by phone? I really don't need all of the open credit lines and limits that I have. I never get anywhere close to using them. Its getting too frustrating switching from card to card at the stores and getting numerous statements in the mail. I would like to buy a car within the next few months. By closing an account now, will this look bad on my credit reports when the car dealership investigates my credit situation? Any help would be greatly appreciated.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
archive
Posted: Thu Aug 12, 2004 1:49 pm
Post subject: Cancellation Of A Credit Card
Ed Mason
Date: 6/27/2001 10:49 pm CDT
Alan,
It will not hurt your credit at all, in fact in may help in someways, especially if you go for home loans, ect.. I would however ask each of the Credit card Companies that you ask to close your accounts to send you a letter stating that they are closed by you and not the Company
archive
Posted: Thu Aug 12, 2004 1:49 pm
Post subject: Cancellation Of A Credit Card
: Scott
Date: 6/28/2001 2:38 am CDT
Personally I don't think you should close the account. Did you apply for something and get denied for reason "Too many bank or national revolving accounts"? Remember that you are also killing an account with age and age matters. Also you are now more sensitive to changes with only 2: Max out one card and now you're at 50% usage instead of 33%; one card reports wrong and now you have only 1 good looking line. I definitely agree with Ed about the letter if you choose to close it though. If your only credit goal is to buy a car in a few months, I definitely wouldnt close it. I would just make sure you have 0 inquiries until that time, and get your credit reports and make sure they are accurate. (Note: i'd go ahead and spend the $30 or so it would take to get them from the CRAs directly so you KNOW there are no hard inquires and also go ahead and check your Beacon FICO score.) If you close the accoutn and its reported wrong, that could take a while for you to realize and straighten out.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
posted by CardRatings.com at 12:03 PM
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