Best thing to do before closing Cap one secured?

[giants1986]

I have a Cap One secured card with a $801 Limit currently. I've had it open for about two years and was planning on closing it soon as I have been able to get some unsecured cards. 

My thinking was to take my Tax return that I will be receiving soon and applying it to the card to increase the limit almost to the 3k max, let that report and then close the card. After closing I would use the money to pay down my balances which would put me at close to 0% util.

Is it worth upping the limit for a month and having it report or should I skip right to paying the balances and closing the card? 

[gdale6]

Personally I would up the limit then close.

[JustinS]

Without knowing the limits on your unsecured cards that's a difficult call. Keep in mind once closed at a $0 bal it shouldn't factor into your overall utilization as from my understanding on this (which I reserve the right to be wrong) util is only open trade lines.

[MissCredit9]

What is the point in raising the limit before closing? I'm pretty sure new apps only take current CL's into account when figuring your new limits. 

[Creditaddict]

Do you have any other credit cards currently?

I would NOT increase the limit on secured card, I would simply pay debts off.

[giants1986]

I think that was more my question. I wasn't sure if the limit would be taken into account or not. 

I have a few cards:

• Cap One platinum (transferred from Orchard Bank) $500
• Cap One Secured $801
• Barclays NFL $2,000
• Credit One $850
• Amazon Store $600
• Express Store $500
• Open Sky Secured $200
• Target Store $200

I plan on closing the two secured cards and then using that money along with my tax refund to pay off my balances on the other cards. After that I'll try and get some CLI's on the Barclays and Cap One card. If so I'll axe the Credit One card and look for a better replacement.

Thanks everyone

[titanofold]

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@giants1986 wrote:

I think that was more my question. I wasn't sure if the limit would be taken into account or not. 

I have a few cards:

• Cap One platinum (transferred from Orchard Bank) $500
• Cap One Secured $801
• Barclays NFL $2,000
• Credit One $850
• Amazon Store $600
• Express Store $500
• Open Sky Secured $200
• Target Store $200

I plan on closing the two secured cards and then using that money along with my tax refund to pay off my balances on the other cards. After that I'll try and get some CLI's on the Barclays and Cap One card. If so I'll axe the Credit One card and look for a better replacement.

Thanks everyone

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+1 Good plan. I think you can axe the Credit One and your secure cards now.