I have several credit cards with nothing on them. Should I cancel them?

Question

Does it help or hurt your credit rating to keep credit cards with no activity?

Answer 1

it does help to use at least one of them sparingly. keeping these accounts open will look good as far as length of account open but with nothing on them it won't really do you much good. if you're weary about using your card (which you should be) use it ONLY for gas and groceries. pay off each month in full and no late payments. that will significantly increase your score down the road.

Answer 2

It will count against your credit rating. Just because you don't use them doesn't matter. The banks look at potential debt when you go to buy a house or take out a large loan. For instance, you could take out a loan then start using the credit cards to their maximum amount. That could put you in over your head. You should pick one or two major credit cards to keep for emergencies then freeze them in a block of ice. That way you have them in an absolute emergency. I'd pick the ones without an annual fee or if they do have an annual fee, just call them when they charge it and tell them you want it removed. They usually do it.

Answer 3

-----leave the oldest account open no matter what you decide to do with the others.-----
the longer your credit history, the higher your score.
you will want to charge approx. 10-20% of your credit limit every few months and pay it off on time and completely.
Credit cards are one of the best ways to build credit for things like cars, which build credit for things like houses.
I can tell by the fact that you have nothing on the accounts that you have the financial willpower to keep open credit without using it. keep some credit open. also, the 10-20% is a rough guideline
never go over it but keep as far under it as you need to in order to pay it off every time you get the bill.

-----close each account that you decide to abandon over time, you do not want to close more than one or two accounts per month, one every other month would be ideal.-----

Answer 4

Yes, it hurts your credit score if you have a bunch of cards that are inactive but if you cancel them it hurts you even more so your pretty much stuck if you already got a bunch of cards but on the other hand if your just starting out most credit card experts say to get no more then two credit cards inorder to optimize your scores.

Answer 5

Yes cancel them! Although you could check with your credit card policy. Some will still report good credit with no balance but others will report bad. Credit cards are bad news anyway so I say cancel them -- reduce the risk of using them.

Answer 6

It does hurt your score, but canceling them can also decrease your credit score. If you think you have too many cards you should cancel the ones you don't use but keep one or two that have been around awhile.

Answer 7

Absolutely not! It is better to have more lines of credit. You should keep them active though. Charge a gas of tank or something on each one every month. That will keep your credit score higher.

Answer 8

well it depends. Keeping them if you've had them a long time shows on your credit report as having had them for a long time. This helps by showing when you established credit. For instance an account you've had for 10 years in good standing is a good thing whether you've used it or not. as opposed to a few you've had open for 2 years.

Answer 9

I would cancel them. Not only will your credit rating be altered by having inactive cards, you would be very tempted to get into serious debt by having them.

Answer 10

It does effect your credit score in terms of "potential" debt ratio. Some finance company's will consider all of your "potential" debt to determine if lending to you is a liability. They have to consider that you could max out each open account and then you would owe that much as well as whatever they are lending you.