2006-08-19 06:25:40 · 10 answers · asked by TK 1 in Business & Finance ➔ Credit
The general answer is to keep them open. The "age" of an account matters. Good accounts generate higher score as they age and bad accounts have their impact reduced over time.
The exception to this is if you have a lot of credit and very little income as many lendors will question your "need" for yet another account.
head over to http://www.creditboards.com/mambo/ and do some reading. They have a lot of good information.
2006-08-19 07:37:56 · answer #1 · answered by Jim R 5 · 0⤊ 0⤋
Absolutely keep them open. When computing your credit score, one of the things they look at is your ratio of debt to available credit. So, if you have 3 credit card with a $1000 limit on each and you have 500 charged on one of them. If you close the other 2, now you only have $1000 in credit and you've used half of that. BUT, if you keep the other 2 open, now you have $3000 in available credit but you've only used $500 out of the $3000 available to you. Makes for a MUCH better score.
2006-08-19 13:56:31 · answer #2 · answered by camotx 2 · 0⤊ 0⤋
This all depends on how many cards you have. If you have too many cards and 0 balances then some creditors consider you a risk because you have too much available credit.
If you only have a couple of cards and with a 0 balance you should keep them open.
If you are trying to build your credit score get a small personal loan. Just $500 dollars from a credit Union and pay it on time for 3-4 months and then pay it off. Unsecured loans give better credit points than revolving credit.
Two great sites to look at are www.myfico.com and www.creditinfocenter.com " Good Luck"
2006-08-19 13:47:37 · answer #3 · answered by justbman12 1 · 0⤊ 0⤋
I would say keep them open. If you do want to close them, apply for a new card with a different company, this shows a competition change and you are 100% approved via credit history.. showing you were just with a competitor.
A few great articles to read on credit are available: http://www.affiliatetier.com/credit_repair/
Tips on how to apply for a credit card:
http://www.affiliatetier.com/credit_repair/Tips_on_How_to_Apply.html
Credit Cards List & Reviews
http://www.affiliatetier.com/credit_repair/credit_cards.php
2006-08-19 16:56:45 · answer #4 · answered by Anonymous · 0⤊ 1⤋
You need to keep them open even if you don't want to use them! This will build some credit. Put them in a safe place so you aren't tempted to pull them out and use them.
2006-08-19 20:25:11 · answer #5 · answered by Nikki 2 · 0⤊ 0⤋
LISTEN TO ME VERY CAREFULLLY!!!!: Don't listen to people who tell you to close your accounts. This will actually hurt your credit score. Actually, because you have more credit available to you this is a good things...it's when you have one account with a very high credit limit that this hurts your credit score.
Trust me I work in a mortgage broker and work very closely with Trans Union
2006-08-19 16:24:28 · answer #6 · answered by christiansareawesome 4 · 0⤊ 0⤋
Keep one open, and lock the card in a lock box so you will have to
"think" about why your going to use it.
There are emergencys in life where you could need one,.
Don't keep it in your wallet/purse.
2006-08-19 13:50:45 · answer #7 · answered by Anonymous · 0⤊ 0⤋
it is better to keep them open. Your fico score will be reduced if you close them - and that's bad. So even if they are at zero - keep em that way - and open!
2006-08-19 13:56:28 · answer #8 · answered by gueraindenver 2 · 0⤊ 0⤋
read more on tips and articles about credit scores and debts that will help you on this site
2006-08-19 13:50:05 · answer #9 · answered by Anonymous · 0⤊ 0⤋
It does not matter
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http://www.bestcreditrates.net/
2006-08-19 14:17:14 · answer #10 · answered by Anonymous · 0⤊ 0⤋