Closing All Credit Card Accts.

Discussion in 'Credit Talk' started by Reshod, Mar 6, 2001.

  1. Reshod

    Reshod Well-Known Member

    Hello Board,

    I wanted to get everyones opinion in regards to closing all of my credit cards except for my oldest trade line. Here is a bit of history surrounding my accounts:

    Army Air Force Credit Card: opened: 11/1996
    Limit: 1000 Balance: 45

    Citibank plat. Select: opened: 10/2000
    Limit: 1000 Balance: 200

    USAA Mastercard: opened: 04/2000
    Limit: 2500 Balance: 2000

    Discover: opened: 08/2000
    Limit: 1000 Balance: 500

    Credit Union Visa: opened: 07/2000
    Limit: 750 Balance: 600

    Auto Loan: Opened: 07/2000
    Original Balance: 20k Balance: 18600

    Student Loans: Payment Deferrred

    I also have several accounts (12) that are closed, no lates, no collections (except Transunion (1))

    My reasoning for closing all of my accounts is to pay off some reaccurring debt.

    What do you guys think?


  2. sam

    sam Well-Known Member

    Re: Closing All Credit Card Ac

    Closing a card won't change your spending habits. Close the cards that charge an annual fee. Let the other idle. You need 3-4 cards to be near the perfect credit score. Having only one will hurt you. Also your available balances will be high.

    If you have 10 cards with $1k balances or 1 card with 10K balance, the problem is not the # of the cards, but the spending habits :)

    I'd keep the non-annual fee cards in case of emergency imo.
  3. Reshod

    Reshod Well-Known Member

    Re: Closing All Credit Card Ac

    none of my cards have annual fees
  4. N'awlins

    N'awlins Guest

    Re: Closing All Credit Card Ac

    I wouldn't close any of those accounts, unless there are membership fees.

    You definetly don't want to close your oldest trade line. The other ones are just recent accounts that should mature (at least 2 yrs). Then, if you don't get any increases or reduction on APR you should consider closing them. I beleive it is not on your best interest to close accounts that are open only a few months. Let them age a bit!

    You can pay them off if you wish. It is good to have accounts with small balances. Even if your balance is zero, use your cards from time to time, charging small amounts and paying them off. Don't use your credit to a max just because you have it.

    Also try to negotiate with your credit card companies. Although we just hear people negotiating with Providian, Aria and Citi on this board, you can do that with any card issuer.

    Try to get a line increase on your oldest trade line at least.

    Good luck!
  5. sam

    sam Well-Known Member

    Re: Closing All Credit Card Ac

    What exactly are you trying to accomplish? Im confused.

    Do you want more credit? Better Terms? Higher Credit score?
  6. Reshod

    Reshod Well-Known Member

    Re: Closing All Credit Card Ac


    I want all of the above?

    So how do i go about getting those things that you have listed?


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