If you close out a credit card account after you pay it off of before you pay it off does it goes against you?

Question

We have a Sears credit card and they closed the account before we paid it off. It is almost paid off. My husband cancelled the account care and they sent us a letter stating that they sent to the credit bureaus that we closed our credit card account and we did not, they did. Will this go against us.

Answer 1

Closing the account won't really hurt you. But do get the balance paid off as soon as you can. It just looks better if the account has a 0 balance.

You will lose the card payment history which might hurt your score if you had this account for a long time.

Answer 2

Closing out accounts won't necessarily improve your credit score. If you know you have a problem
with charging everything simply because it's convenient, lock away all your credit cards except for an
emergency card. Then begin a diligent effort to begin paying down the balances on your credit cards.
Experts recommend that at any given time you should always have at least 25% of your remaining
credit limit available and unused.

Answer 3

Unfortunately it does. You should never cancel a credit card, only cut it up and never request a new card. Additionally, since they canceled and you didn't, do you think that there was a reason for that? You weren't paying on time? You weren't using it enough? Things like that affect your credit. You should never open accounts unless you intend to use them to build your credit.

Answer 4

do not close the account. save it open and use it approximately each and every 3 months or in an effort to maintain the account lively. last the account closes the history. Even tho the closed account will coach on your credit document for extra or less 10 years, it won't count type as lots on your score.

Answer 5

if you close it out your debt to credit limit ratio goes up and the credit bureaus penalize you for that - just lock the card away for extreme emergencies only