Close store cards? How many?

[Anonymous]

---

@Anonymous wrote:

To each his own.  Some have 1 store card and others have alot more.

I still haven't quite figured out what's bad about them.

---

me either - i still suspect that it has little to no effect on scores, and would only hurt you on a manual review. but i'm still just under 700, so i figure i have a few manual reviews in my future and want to pass them all.

i closed out my merrick bank card just now. not a store card, but $3 a month for a $1400 limit (they just raised it from 1100) with a bad rate and no rewards had to end. Getting an extra 17,900 in CLI from synch made that choice even easier.

[Anonymous]

I have 6.
VS 1250 barely use
Nebraska Furniture Mart 2K
Macy's 3K use fairly often
JC penney 1500K barely use
Firestone 1800 will keep for DH
Kohls 700 barely use unless I have 30 % coupon
Having trouble in choosing to keep all or close JC Penney, VS, & Kohls

[Anonymous]

I would just keep them. With no to low balances they are helping your utilization.

[longtimelurker]

Part of the "hate" on score cards here comes more from the way some people get them, rather than issues with keeping them.

People rebuilding are introduced to the Shopping Card Trick, get, um, overexcited, and get a lot of store cards from places they never shop, not getting an HP, but trashing the AAoA as these are all new accounts.    It may make sense to do a little, if you cannot get  a secured card, but those who go wild learn to regret it.

Similar concerns apply if you take whatever is offered at a store (20% savings if you get our card), except that you also usually will get an HP, but at least you might use that store.

But if you later have a handful (or more) of store cards that offer decent benefits at places you really go, then that is OK.   Regularly review them along with bank cards, and see if you want to keep them.

The other downside is just that the cards almost always have horrible APRs, so you shouldn't carry balances on them if you have a choice!

But in themselves, they are not evil!

[Ghoshida]

I don't think you need to close cards unless (a) there are AFs and you don't see the benefits, or (b) limits are lousy, or (c) you don't seem to use them at all and keeping track of them is bothersome. 

That said, improving overall utilization itself (either by paying down the existing debt or by getting some good SP CLIs) will improve your scores. Try bringing the utilization down to <10%. You might have a few cards at >20% or 30% as of now if your average is 20%. That might be holding back your scores a bit.

[Anonymous]

---

@longtimelurker wrote:

Part of the "hate" on score cards here comes more from the way some people get them, rather than issues with keeping them.

People rebuilding are introduced to the Shopping Card Trick, get, um, overexcited, and get a lot of store cards from places they never shop, not getting an HP, but trashing the AAoA as these are all new accounts.    It may make sense to do a little, if you cannot get  a secured card, but those who go wild learn to regret it.

Similar concerns apply if you take whatever is offered at a store (20% savings if you get our card), except that you also usually will get an HP, but at least you might use that store.

But if you later have a handful (or more) of store cards that offer decent benefits at places you really go, then that is OK.   Regularly review them along with bank cards, and see if you want to keep them.

The other downside is just that the cards almost always have horrible APRs, so you shouldn't carry balances on them if you have a choice!

But in themselves, they are not evil!

---

thanks. so the damage is done. makes sense. the only one with a balance at all right now is amazon, and only b/c they're offering the 5% cash back now. 4 of my cards have never been used (what do you know - the SCT ones!) it can be pretty tough when you are used to getting declined, to turn down a pre-approved card with no HP. You have felt the pain of a wasted HP on a prime card, but still have that itchy finger.  One thing I don't think people realize, is that the sportman's guide card has a 0% BT offer, which can be pretty helpful. Not bad for no HP.

[Anonymous]

---

@Ghoshida wrote:

I don't think you need to close cards unless (a) there are AFs and you don't see the benefits, or (b) limits are lousy, or (c) you don't seem to use them at all and keeping track of them is bothersome. 

That said, improving overall utilization itself (either by paying down the existing debt or by getting some good SP CLIs) will improve your scores. Try bringing the utilization down to <10%. You might have a few cards at >20% or 30% as of now if your average is 20%. That might be holding back your scores a bit.

---

my "reported" util right now is 4% - i just did two BT's from my wife's cards that haven't reported yet. With tonight's CLI's i am guessing i'll be right around 15% when the 10k hits.

thanks though, it's good info, and i was shocked the first time i went under 30% and saw the jump i got - way bigger than when my tax lien got removed. i bet other people don't realize it either.

[Ghoshida]

---

@Anonymous wrote:

---

@Ghoshida wrote:

I don't think you need to close cards unless (a) there are AFs and you don't see the benefits, or (b) limits are lousy, or (c) you don't seem to use them at all and keeping track of them is bothersome. 

That said, improving overall utilization itself (either by paying down the existing debt or by getting some good SP CLIs) will improve your scores. Try bringing the utilization down to <10%. You might have a few cards at >20% or 30% as of now if your average is 20%. That might be holding back your scores a bit.

---

my "reported" util right now is 4% - i just did two BT's from my wife's cards that haven't reported yet. With tonight's CLI's i am guessing i'll be right around 15% when the 10k hits.

thanks though, it's good info, and i was shocked the first time i went under 30% and saw the jump i got - way bigger than when my tax lien got removed. i bet other people don't realize it either.

---

Yeah, I believe there are some leaps that you make when you move from one score bucket to another.

Why don't you keep the cards you have and try for some CLIs over the next few months, and then see if that <10% is achieved. Use some utilization padding until you're in a position to greatly pay down your debt; maybe then it's a good time to chop some cards? 

[Anonymous]

---

@Ghoshida wrote:

---

@Anonymous wrote:

---

@Ghoshida wrote:

I don't think you need to close cards unless (a) there are AFs and you don't see the benefits, or (b) limits are lousy, or (c) you don't seem to use them at all and keeping track of them is bothersome. 

That said, improving overall utilization itself (either by paying down the existing debt or by getting some good SP CLIs) will improve your scores. Try bringing the utilization down to <10%. You might have a few cards at >20% or 30% as of now if your average is 20%. That might be holding back your scores a bit.

---

my "reported" util right now is 4% - i just did two BT's from my wife's cards that haven't reported yet. With tonight's CLI's i am guessing i'll be right around 15% when the 10k hits.

thanks though, it's good info, and i was shocked the first time i went under 30% and saw the jump i got - way bigger than when my tax lien got removed. i bet other people don't realize it either.

---

Yeah, I believe there are some leaps that you make when you move from one score bucket to another.

Why don't you keep the cards you have and try for some CLIs over the next few months, and then see if that <10% is achieved. Use some utilization padding until you're in a position to greatly pay down your debt; maybe then it's a good time to chop some cards? 

---

that's pretty much the plan. i might just keep all my cards open - no one has given me a compelling reason to close them. I'm sure i'll close a couple, but i'm in no hurry. next app shouldn't be until september anyway. might wait until a "lull" in my reports, in between payments posting, so I can try and isolate what effect, if any, closing them has on my score.