Benefits of Closing a Credit Card
Author: ericnmu
Posted: Mon Oct 10, 2005 3:32 pm
Post subject: A few questions from a newcomer
Hi, I have a few questions regarding my overall credit situation.
Let me start with some relevent background. I am a full time student, 21 years of age. I have one college loan (deffered payment), through the US Dept. of Education. The total is around $2,000.
I have two credit cards, a Capital One ($500 credit limit), and a Wells Fargo ($1300). I have had the two for roughly 2-2.5 years. I accidenly made 1 late payment to my Capital One card, which is noted in my credit report.
I signed up for Credit Watch from Equifax the other day. The first day my score was reported as 611. Two days later, it jumped to 649... not sure why. Is this service worth keeping?
I would like to cancel the Capital One card. I'm not really happy with it, and I don't use it. Would keeping this card benefit me in any way, as I try and build credit? I would also like to open a new credit card, but I have no clue which to look it. Should I get a student card, or a regular card? How can I tell how aggressive I should be while searching for the best card that I can get (meaning I dont want to apply to cards I know I cant get).
I am also looking into credit monitoring services. I have read mixed reviews of TrueCredit, in my situation is this a feasible choice? Another that has cought my eye is Citi's credit monitoring, but I cant find where it pulls the scores, does anyone know?
I know I am forgetting a few questions, but I am running out of time at work. I will keep this updated as they come to mind. And before you ask, I found this site via the google.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: gameboy
Posted: Mon Oct 10, 2005 4:33 pm
Post subject: Benifits of Closing a Credit Card
Unless you absolutely hate the Cap One card, you should keep it open to have a longer length of credit history on the credit report. Length of credit history is a big factor in determining your credit score (30% or 35%).
I would get a student card (and I did get one recently) because it's easier to get approved for them.
I don't know much about credit monitoring services. Someone else here will be able to tell you.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: maddybeagle
Posted: Mon Oct 10, 2005 4:52 pm
Post subject: Benifits of Closing a Credit Card
Welcome Yooper! When were you late on the payment. If it was recently, you could ask them to "forgive you". Even if it wasnt recent, no harm in asking. It sounds like folks here have had a good track record of getting by on 1-2 late payments before they get reported. Just asking is usually enough. As pointed out, your oldest account looks good to keep. Also, closing accounts isnt good esp. with as few of accounts you have. If you dont like cap. one, I would just "sock draw it" unless they charge an annual fee and apply for another account that you like using better.
Author: astounding
Posted: Tue Oct 11, 2005 3:24 am
Post subject: Benifits of Closing a Credit Card
Quote:
I am also looking into credit monitoring services. I have read mixed reviews of TrueCredit, in my situation is this a feasible choice? Another that has cought my eye is Citi's credit monitoring, but I cant find where it pulls the scores, does anyone know?
The three major consumer reporting agencies (credit bureaus) are:
(These agencies store your credit score. Contact anyone of them, and
they'll have a file on you and your score and your credit history.)
Experian (formerly TRW)
P.O. Box 949
Allen, TX 75013
(800) 682-7654
http://www.experian.com/consumer/index.html
Trans Union
760 West Sproul Road
P.O. Box 390
Springfield, PA 19064-0390
(800) 916-8800
http://www.transunion.com/Personal/PersonalSolutions.asp
Equifax
P.O. Box 740241
Atlanta, GA 30374-0241
(800) 685-1111
https://www.econsumer.equifax.com/consumer/landing.ehtml?^start=
Furthermore, if you EVER have a dispute about a mistake, incorrection
or anything else related to "Credit score", above 3 agencies are the
ones to contact. Because one of them will have made a mistake which
happens EXTREMELY often.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Posted: Mon Oct 10, 2005 3:32 pm
Post subject: A few questions from a newcomer
Hi, I have a few questions regarding my overall credit situation.
Let me start with some relevent background. I am a full time student, 21 years of age. I have one college loan (deffered payment), through the US Dept. of Education. The total is around $2,000.
I have two credit cards, a Capital One ($500 credit limit), and a Wells Fargo ($1300). I have had the two for roughly 2-2.5 years. I accidenly made 1 late payment to my Capital One card, which is noted in my credit report.
I signed up for Credit Watch from Equifax the other day. The first day my score was reported as 611. Two days later, it jumped to 649... not sure why. Is this service worth keeping?
I would like to cancel the Capital One card. I'm not really happy with it, and I don't use it. Would keeping this card benefit me in any way, as I try and build credit? I would also like to open a new credit card, but I have no clue which to look it. Should I get a student card, or a regular card? How can I tell how aggressive I should be while searching for the best card that I can get (meaning I dont want to apply to cards I know I cant get).
I am also looking into credit monitoring services. I have read mixed reviews of TrueCredit, in my situation is this a feasible choice? Another that has cought my eye is Citi's credit monitoring, but I cant find where it pulls the scores, does anyone know?
I know I am forgetting a few questions, but I am running out of time at work. I will keep this updated as they come to mind. And before you ask, I found this site via the google.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: gameboy
Posted: Mon Oct 10, 2005 4:33 pm
Post subject: Benifits of Closing a Credit Card
Unless you absolutely hate the Cap One card, you should keep it open to have a longer length of credit history on the credit report. Length of credit history is a big factor in determining your credit score (30% or 35%).
I would get a student card (and I did get one recently) because it's easier to get approved for them.
I don't know much about credit monitoring services. Someone else here will be able to tell you.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: maddybeagle
Posted: Mon Oct 10, 2005 4:52 pm
Post subject: Benifits of Closing a Credit Card
Welcome Yooper! When were you late on the payment. If it was recently, you could ask them to "forgive you". Even if it wasnt recent, no harm in asking. It sounds like folks here have had a good track record of getting by on 1-2 late payments before they get reported. Just asking is usually enough. As pointed out, your oldest account looks good to keep. Also, closing accounts isnt good esp. with as few of accounts you have. If you dont like cap. one, I would just "sock draw it" unless they charge an annual fee and apply for another account that you like using better.
Author: astounding
Posted: Tue Oct 11, 2005 3:24 am
Post subject: Benifits of Closing a Credit Card
Quote:
I am also looking into credit monitoring services. I have read mixed reviews of TrueCredit, in my situation is this a feasible choice? Another that has cought my eye is Citi's credit monitoring, but I cant find where it pulls the scores, does anyone know?
The three major consumer reporting agencies (credit bureaus) are:
(These agencies store your credit score. Contact anyone of them, and
they'll have a file on you and your score and your credit history.)
Experian (formerly TRW)
P.O. Box 949
Allen, TX 75013
(800) 682-7654
http://www.experian.com/consumer/index.html
Trans Union
760 West Sproul Road
P.O. Box 390
Springfield, PA 19064-0390
(800) 916-8800
http://www.transunion.com/Personal/PersonalSolutions.asp
Equifax
P.O. Box 740241
Atlanta, GA 30374-0241
(800) 685-1111
https://www.econsumer.equifax.com/consumer/landing.ehtml?^start=
Furthermore, if you EVER have a dispute about a mistake, incorrection
or anything else related to "Credit score", above 3 agencies are the
ones to contact. Because one of them will have made a mistake which
happens EXTREMELY often.
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 3:39 PM
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