Is it better for your credit score to close out credit card accounts that have a zero balance?

Question

and are not used. Or is better to keep them open? I beleive Yahoo had an article about it, but I didn't get to read it. Thanks

Answer 1

It depends. If they are the only credit cards you have then do not close them just use them for everyday things like food and gas and pay them off before the due date every month. Also keep your balance below 30%.

If on the other hand you have several credit cards then closeing a couple of them would really not make much of a differance. Just do not close them all at once.

A full 35% of your credit score is made up of payment history so this is something to take into consideration also. If you have had the cards for a long time I would not close them just use them wisely.

Answer 2

If you've had the cards for a long time, then no. Part of your credit score is long-term relationships with the same creditors. But, if you opened them for a short-term incentive (like zero interest on balance transfers), and you haven't had them for a really long time, then it's fine.

Answer 3

I've heard it's bad to close your accounts as it will affect your credit score. Leave them open at a 0 balance.

Answer 4

It probably depends on how many accounts you have. Lenders look at your potential debt. So, the more open accounts you have the higher your potential debt. But, they also look at your debt ratio. If you only have accounts open that you have balances on then your debt ratio isn't going to be good. Look at your accounts and then decide. You might want to close some of the open accounts but not all of them.

Answer 5

depends, it's good to keep your oldest accounts open, as long as the history is good. But if you have been moving money around to try to take advantage of a lower percentage rate, get in, get out, and close those

Answer 6

you can keep them open just spend a little from time to yime like 50 dollers an then pay it off at the end of the month