I recently got an American Express Blue Card. I have had it for about two months and have only made 2 payments on it (it is paid off in full). I got this card so I could transfer the points to my Hilton account. I just realized AMex also has a Hilton Card that would earn me 2 points instead of 1 per dollar. I am thinking I'd like to cancel Blue and go with that one. Would this have a big affect of my score? Suggestions?
2006-12-01 15:04:41 · 7 answers · asked by SW N 1 in Business & Finance ➔ Credit
No. Just tell them to mark your account as "Closed at Customer's Request." That is perfectly acceptable and avoids having an open line of credit that a lender or mortgagor could count as a liability (even if not used).
2006-12-01 15:28:16 · answer #1 · answered by Rich Z 7 · 0⤊ 0⤋
Opening new trade lines will always affect your score... Since you have established and made payments on the card already you are reflecting a positive record with Amex. I wouldn't go and close the account
You can always contact amex and see if they can give you the same benefits as you would have gotten with the hilton card... You dont really want to open and close accounts that frequently...
Amex may or may not pull your credit a second time to grant you that new card - generally they will (to make sure that you havent 10 other cards since you applied for the blue card 3 months ago) If they do another formal inquiry it will knock your score down a couple points
If you are a good customer, chances are that they would be willing to work with you on your benefits or transfer the service line to the hilton benefits. I would call and ask... take you 10 minutes and it wont have an effect on your credit to simply find out.
Amex is a good card to have (considered an entertainment card)
You always want to have a variety of types of accounts on your report - Bank card (meaning that it is a visa or MC issued by a banking institution like BofA or Chanse), a store card (target, walmart, macy's etc) and an entertainment card (amex, diners club, etc). Each one has slightly different terms to them and having good standing with multiple types of CCs means that you are able to stick to a variety of terms (obviously you want a car loan history and mortgage history as well).
Also, make sure that you dont cancel your oldest credit lines simply because you no longer use them that often. 10% of your score is the length of your credit history...
much like how you would trust a person who has had freinds since they were little kids- more than someone who's "best freind" they met a last year... it shows the ability to maintain amicable and long term relationships... same goes for banking institutions -
hope that helps
2006-12-01 19:00:19 · answer #2 · answered by E-Rock 3 · 0⤊ 0⤋
Probably not if you are switching it over to another AMex card. It would also depend on several other factors such as how many other cards you have, credit limits, balances, time of credit open, etc. They have made it so complicated it is hard to determine what helps and what hurts sometimes.
The shortness of the time and not knowing the other factors makes it hard to determine what the credit bureaus with do when they re-score your credit.
2006-12-01 15:16:43 · answer #3 · answered by Margaret K 3 · 0⤊ 0⤋
do no longer cancel them, set up to pay to finished volume via direct debit whilst the bill is due(that way you pay no interest). Rotate the enjoying cards use a various one each and each month. additionally set up to have them request the money (out of your account) interior of each and every week of you sales that way you comprehend that there will be adequate money to pay the mastercard bill. in case you're incredibly clever you will use the present card for all your paying for, in result getting an interest unfastened loan. The mastercard agencies hate it once you are trying this yet there is not any longer something that they could do approximately it. the different income is that your credit status soars, you're utilising credit yet dealing with it sensibly. This little trick became taught to me via a financial company supervisor.
2016-12-14 10:52:45 · answer #4 · answered by Anonymous · 0⤊ 0⤋
It would make your average account age have a small length of time so it will have a negative affect since 10% of your credit score is based on your average age of accounts.
2006-12-01 16:36:15 · answer #5 · answered by Mariposa 7 · 0⤊ 0⤋
IT wouldn't But those point are a big long process So if I were you just hang on to the blue and establish yourself first then change But I can't see it doing any damage to your credit just switching
2006-12-01 15:14:39 · answer #6 · answered by .................................... 4 · 0⤊ 0⤋
No. If it were cancelled on you, then you'd have a problem.
2006-12-01 15:12:29 · answer #7 · answered by Nikki 6 · 0⤊ 0⤋