| Posted By |
Message |
deedee1013
LIF Adolescent
Member since 11/07 616 total posts
Name:
Diane
|
Cancelling credit cards - Good or not Good
I have managed to pay off all my credit cards.
There are 2 that I use on a day-to-day basis and pay them off in a month or 2.
I have heard that it is not good to cancel credit cards, even if the balances are zero. It has an adverse affect on your credit rating.
Any thoughts?
TIA
|
Posted 9/7/09 6:33 PM  |
| |
|
Jackie24
~We Did it~
Member since 7/06 6718 total posts
Name:
Jackie
|
Re: Cancelling credit cards - Good or not Good
The more available credit you have the better for you, so no its not good. Although now some CC companies will just cancel them if you don't use them now. I would use them for gas etc and pay off in full every month.
|
| Posted 9/7/09 8:59 PM |
| |
|
deedee1013
LIF Adolescent
Member since 11/07 616 total posts
Name:
Diane
|
Re: Cancelling credit cards - Good or not Good
Posted by Jackie24
The more available credit you have the better for you, so no its not good. Although now some CC companies will just cancel them if you don't use them now. I would use them for gas etc and pay off in full every month.
Thanks...
I got a Sears credit card many years ago..when I graduated from college. It has since changed to a Citigroup Master Card. I called yesterday to ask if they would review my account in the hopes of lowering my APR. The woman that I spoke to was SO nice. She said that they couldn't lower my APR. Then, she said that letters were going out in the next month or 2, stating that APR is going up to 25%. Isn't that loan-sharking?
|
| Posted 9/8/09 8:19 AM |
| |
|
greenfreak
.
Member since 9/06 11483 total posts
Name:
greenfreak
|
Re: Cancelling credit cards - Good or not Good
DH just canceled a Capital One credit card that had a terrible rate and an annual fee, less than 6 months ago. We had our credit run for a car loan yesterday and it's still stellar.
We do have three other cards with no balances and a mortgage, plus the previous car loan so we figured with all that other good credit, it wouldn't be a big deal. And it wasn't.
|
| Posted 9/8/09 11:00 AM |
| |
|
DayDay
Livin' the Good Life....
Member since 9/06 5939 total posts
Name:
Dayna
|
Re: Cancelling credit cards - Good or not Good
It's not good to cancel credit cards bc it brings down your total revolving availability which is about 35% of your total credit score..
I just got a letter from Amex telling me they were increasing my rates and those are the only 2 cards I use.. I may look for a zero balance card and transfer my balances
|
| Posted 9/9/09 9:33 AM |
| |
|
rkoenke
my little piggys
Member since 3/08 4315 total posts
Name:
rachel
|
Re: Cancelling credit cards - Good or not Good
Posted by LLandDayDay
It's not good to cancel credit cards bc it brings down your total revolving availability which is about 35% of your total credit score..
I just got a letter from Amex telling me they were increasing my rates and those are the only 2 cards I use.. I may look for a zero balance card and transfer my balances
My mom's AMEX did this too. she cancelled them, but she doesn't need good credit anymore...
|
| Posted 9/11/09 2:43 PM |
| |
|
Selden78
I lvoe the fall :)
Member since 6/06 3543 total posts
Name:
|
Re: Cancelling credit cards - Good or not Good
Posted by deedee1013
Posted by Jackie24
The more available credit you have the better for you, so no its not good. Although now some CC companies will just cancel them if you don't use them now. I would use them for gas etc and pay off in full every month.
Thanks...
I got a Sears credit card many years ago..When I graduated from college. It has since changed to a Citigroup Master Card. I called yesterday to ask if they would review my account in the hopes of lowering my APR. The woman that I spoke to was SO nice. She said that they couldn't lower my APR. Then, she said that letters were going out in the next month or 2, stating that APR is going up to 25%. Isn't that loan-sharking?
apparently the cc companies can do what ever they like... I have a c/c with chase have been a member for over 10 years (im only 31)have over 10,000 balance at 5.99% till the transfer is paid in full min payment 258 ( 2% of total debt). got a bill last month they look my 5.99% away and said I now have to pay 5% of the balance my monthly payment over 600.00 I said hell no... The "deal" worked out was 7.99% min payment 2% of the balance monthly min 249.00 till 8-2011 but they can not guarantee that they will take that away aswell. Oh did I mention over 10 years I have been a loyal customer only 1 late payment..... And that is what I get.
|
| Posted 9/24/09 1:58 PM |
| |
|
Selden78
I lvoe the fall :)
Member since 6/06 3543 total posts
Name:
|
Re: Cancelling credit cards - Good or not Good
no do not cancel your cc the more credit you have the beeter off you r
|
| Posted 9/24/09 1:58 PM |
| |
|
DiamondGirl
You are my I love you
Member since 7/09 18802 total posts
Name:
DiamondMama
|
Re: Cancelling credit cards - Good or not Good
They say it is bad to cancel.
I would pay off the bill, cut the CC but keep it open.
|
| Posted 9/24/09 9:36 PM |
| |
|
MrsList
Sweet cheeks
Member since 4/09 1696 total posts
Name:
|
Re: Cancelling credit cards - Good or not Good
I believe it's only really bad if you have debt. Your credit score is based on a ratio of your debt to your total credit and if you have no debt, then 0 divided by anything is good. I would get rid of the ones you don't use and maybe keep 1 extra with a high limit for emergencies. DEFINITELY get rid of the merchant ones that you can only use at specific stores unless you get really good deals with it (e.g., Kohl's).
Having too much credit can also hurt your score because you can just charge them up at any time.
|
| Posted 10/12/09 2:00 PM |
| |
|
EsquireFish
LIF Adult
Member since 3/09 1259 total posts
Name:
G
|
Re: Cancelling credit cards - Good or not Good
I don't recommend cancelling any cards. Keep the balances very low but use each card each month. I have two CCs and one I use for everyday stuff, but the other I only use for travel and I keep it active each month by just putting my dry cleaning and maybe one or two other small purchases on it.
|
| Posted 10/12/09 2:03 PM |
| |
|
