What is, in general, the FICO hit should you close a credit card before it ages 3 years? Mine has been open 2 and one half years, but it has to be closed. Thanks!
ONLY F.I.C.O. knows for sure...it depends on what the credit limit is, AND WHAT YOU OWE ON ALL YOUR CARDS... If it was say $10,000 and you owe $1,000 on your only other card that has a limit of $1,200, your going to take a BIG HIT... If it is $1,000 and you have limits of $30,000+ and owe $5,000 +/- PROBABLY NO HIT... ALL SPECULATION...
The following was on my fico evaluation tonight. Are you sure you have to close it? "Paying down your revolving account balances is a good sign that you are able and willing to manage and repay your debt, and this will increase your score. On the other hand, shifting balances among revolving accounts, opening up new revolving accounts, and closing down other revolving accounts will not necessarily improve your score, and could possibly decrease your score."
George - I have about 18k in limits. The card I want to close has a $2500 limit and I owe nothing on it. But I do owe 5k on my other 3 cards. If I close it, then my limits combined will be about 15k. Nursie - I need to close this card because they have jerked me around so much. I can't stand them! Thanks for the responses!
As George said, we're just speculating because FICO hasn't revealed their formulas. However, for what it's worth, I've always heard that you should leave accounts open for at least two years. With your card having already been open for two and a half years, I agree with George that you probably won't see a scoring deficit at all. Doc
I'm trying to understand this FICO thing.... Does anybody know why one should have to leave an account open for at least two years? If you don't wish to continue the account you should be able to close it at any time you wish.
