is it better to cancel credit cards with 0 balances or leave them on your credit bureau? does it affect credit

Question

i have several credit cards at 0% interest i've paid off -will it affect me adversely on my credit bureau to cancel them or should it leave them on at 0 balance

Answer 1

Yes it changes your credit to debt ratio, or should say downgrades it. Better off using them once in awhile for a small purchase then pay it off before the due date

Answer 2

despite if or no longer your credit would be adversely affected in case you cancel the cardboard relies upon on the share of available revolving credit that this card makes use of and how it may counteract any unfavorable acct information on your rfile. although, in case you go away it on there this is going to stay listed as an account it quite is in good status. this could be an benefit to you in case you choose. in case you in no way use the account, this is going to look to different lenders which you have maintained a good account for a protracted quantity of time. they might't tell despite if or no longer you have ever certainly offered something with the cardboard. I did this with a come across card I had that replaced into at $0 stability. I deactivated the account as a exchange of cancelling it so as that it may no longer be utilized by fraud, then I left it on my credit rfile. Now it shows that I actually have a perfect fee historic past with come across for the previous 10 yrs while in fact this is purely a card that I in no way used or perhaps had to apply.

Answer 3

IF your card balance is zero ask for an increase in available credit.Don't spend it or use it, don't cancel, it will have adverse consequences. The more credit available is good on your credit report as long as your'e debt to income level is at an aceptable level, probably around 20% and down is good, someone correct that figure if i'm wrong.

Answer 4

While closing those credit card accounts will lower your debt to available credit limit and lower your score, you will rebound fairly quickly.

Personally, I think it's a bad idea to have a lot of credit cards that you don't use. They have to be secured and monitored. Just too many opportunities for problems.

I recommend keeping the two oldest major credit cards without an annual fee and closing the rest. Only keep store or gas charge cards if you have specific reason.

Answer 5

It reduces the credit rating to have more than a few cards.. I'm guessing more than 6. I remember seeing it as a point reducer when I applied for an apartment lease. Later I closed out some cards because of this. My new apartment told me that I have a higher credit rating now.

Answer 6

In theory , open is better because it gives you a better debt to available credit ratio .

However , it may be that too much credit is considered risky and None of the agencies , Nor FICO have made a clear statement on this one .

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Answer 7

If there is an old card with a long history, closing the account will lose you the points associated with that history. Keep it.

If you have lots and lots of cards, that's different. Close some of them.

Answer 8

It is not recommended that you close your unused credit cards, believe it or not leaving unused credit cards open shows that you have self control. Closed credit cards show a negative affect to your potential creditors. Keep them there for future reference.