Will it hurt my FICO to close some of my credit card accounts?

Guest: AJ
Post subject: Will it hurt my FICO to close some of my credit card accounts?
Posted: Sun Jun 11, 2006 6:01 am

I have 3 cards all above 10k with zero balances. I have recently paid them off. I am using cards that are less than 10k. Should I keep the 10k's open to show that I have them and can handle the limits, or will it hurt my score. 720

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Guest: TomfromCT
Credit Expert (100+ Posts)
Posted: Sun Jun 11, 2006 6:50 am

Keep the cards for history and for Utilization.


Closing could hurt your FICO.
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Guest: WellManicuredMan
Posted: Sun Jun 11, 2006 10:51 pm

Also remember to charge something to each card at least every few months so that the bank doesn't close them from inactivity. The amount doesn't matter. I have a card I don't care to use anymore but I have automatic payments set up for one of my regular monthly bills so the account stays open and my credit history remains longer.
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Guest: mouse
SENIOR MEMBER (Member for 2 yrs.+)
Posted: Sun Jun 11, 2006 11:27 pm

Quote:

"AJ"
I have 3 cards all above 10k with zero balances. I have recently paid them off. I am using cards that are less than 10k. Should I keep the 10k's open to show that I have them and can handle the limits, or will it hurt my score. 720

CLOSING HURTS MORE THAN HELPS

Use each card once or twice a years for $5 or $10 and PIF

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Guest: cameron
Posted: Mon Jun 12, 2006 1:00 am

http://www.sfgate.com/cgi-bin/article.cgi?file=/chronicle/archive/2002/01/27/BU146130.DTL&type=business

I keep hearing this mantra never close a card. In my opinion its overdone. While closing a card wont necessarily help your credit score, if you do it right it doesnt need to hurt it either. Some people dont like to have 50 credit cards, and would prefer to just close the ones they are done with, if nothing else for simplicity. Also, there is more to getting credit than a credit score. If you want to get a mortgage, they look at other factors than FICO (such as income, etc).

I posted an article, food for thought...

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