Closing Credit Card Immediately...

Anonymous · ‎02-21-2013

I just recently applied for the Chase Slate Card and got approved with a $500 CL. I called into Chase to see if they could do anything to raise it but I did not want another Hard Pull on my Report. They informed me that I could not, so I asked them to cancel the card and they did. I just wanted to know if cancelling my card with 5 days of opening the card will hurt my credit score. Thanks!

Laugh · ‎02-21-2013

Yes. AAoA cut. An addition hard inquiry. And possibly having to explain the cancellation when applying for new credit

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myjourney · ‎02-21-2013

Sometimes its best to take the smaller limit and build a relationship with the issuer for future CLI and lines of credit. You wasted a HP and hurt AAOA and possibly your score.

Just my opinion but I would call back and see if I could sway them to let me keep the card open.

Before you app think...
Have you done your research of the CC?
Does it fit your spending?
Do you have a plan for the bonus w/o going into debt?
Can you afford the AF?
Do you know the cards benefits? Is it worth the HP?

bs6054 · ‎02-21-2013

@myjourney wrote:
Sometimes its best to take the smaller limit and build a relationship with the issuer for future CLI and lines of credit. You wasted a HP and hurt AAOA and possibly your score.
Just my opinion but I would call back and see if I could sway them to let me keep the card open.

How is closing it impacting AAoA any time soon? It it reports, it will stay on for about the next ten years, if it doesn't report, doesn't impact AAoA at all.

Simply827 · ‎02-21-2013

I don't even think the card will report, but you will take a hit for the inquiry. If the card does indeed report, you'll get a ding for AAoA. Yes the card will report for 10 years, but it's still a young account.

myjourney · ‎02-21-2013

bs6054 wrote: If it reports...either way why not try and keep open VS a wasted HP....I've had cards show up on CR next day
@myjourney wrote:
Sometimes its best to take the smaller limit and build a relationship with the issuer for future CLI and lines of credit. You wasted a HP and hurt AAOA and possibly your score.
Just my opinion but I would call back and see if I could sway them to let me keep the card open.
How is closing it impacting AAoA any time soon? It it reports, it will stay on for about the next ten years, if it doesn't report, doesn't impact AAoA at all.

Before you app think...
Have you done your research of the CC?
Does it fit your spending?
Do you have a plan for the bonus w/o going into debt?
Can you afford the AF?
Do you know the cards benefits? Is it worth the HP?

Elcid89 · ‎02-21-2013

@myjourney wrote:
Sometimes its best to take the smaller limit and build a relationship with the issuer for future CLI and lines of credit. You wasted a HP and hurt AAOA and possibly your score.
Just my opinion but I would call back and see if I could sway them to let me keep the card open.

AAOA is calculated based on open accounts. This is why they tell you never to close your oldest account, even if you never use it and have no use for it. Once it's closed, the AAOA calculation ignores it, and your AAOA drops. Even if it shows up, which I doubt, it won't affect AAOA since it's already closed.

I agree that he'll take the hit for the inquiry and probably should have left the account open just to build a relationship.

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calihlove75 · ‎02-21-2013

@myjourney wrote:
bs6054 wrote: If it reports...either way why not try and keep open VS a wasted HP....I've had cards show up on CR next day
@myjourney wrote:
Sometimes its best to take the smaller limit and build a relationship with the issuer for future CLI and lines of credit. You wasted a HP and hurt AAOA and possibly your score.
Just my opinion but I would call back and see if I could sway them to let me keep the card open.
How is closing it impacting AAoA any time soon? It it reports, it will stay on for about the next ten years, if it doesn't report, doesn't impact AAoA at all.

The moment a new account reports,it affects AAoA. I think that is what they were saying. That being said, if the damage is already done, might as well keep it open.

100% Ficos: EX 780 , TU 783, EQ 776 inquiries last 2 years/1 year/6 months: EX-0/0/0, TU-0/0/0, EQ-1/0/0~ last credit card app 6/24/13- New car loan 3/8/2014- Discover IT $12,500~Kohls $1000~Amex BCE $4000~ Walmart Discover $7500~NFCU Signature CashRewards $23,300 Chase Freedom MC $6000~ Chase Amazon Visa $1900~ Cap 1/HSBC MC $3800~ Amazon Store $7000~ Fingerhut $1050

myjourney · ‎02-21-2013

@Elcid89 wrote:
@myjourney wrote:
Sometimes its best to take the smaller limit and build a relationship with the issuer for future CLI and lines of credit. You wasted a HP and hurt AAOA and possibly your score.
Just my opinion but I would call back and see if I could sway them to let me keep the card open.
AAOA is calculated based on open accounts. This is why they tell you never to close your oldest account, even if you never use it and have no use for it. Once it's closed, the AAOA calculation ignores it, and your AAOA drops. Even if it shows up, which I doubt, it won't affect AAOA since it's already closed.

I agree that he'll take the hit for the inquiry and probably should have left the account open just to build a relationship.
Elcid89 wrote: Point Taken thanks

Before you app think...
Have you done your research of the CC?
Does it fit your spending?
Do you have a plan for the bonus w/o going into debt?
Can you afford the AF?
Do you know the cards benefits? Is it worth the HP?

calihlove75 · ‎02-21-2013

@Elcid89 wrote:
@myjourney wrote:
Sometimes its best to take the smaller limit and build a relationship with the issuer for future CLI and lines of credit. You wasted a HP and hurt AAOA and possibly your score.
Just my opinion but I would call back and see if I could sway them to let me keep the card open.
AAOA is calculated based on open accounts. This is why they tell you never to close your oldest account, even if you never use it and have no use for it. Once it's closed, the AAOA calculation ignores it, and your AAOA drops. Even if it shows up, which I doubt, it won't affect AAOA since it's already closed.

I agree that he'll take the hit for the inquiry and probably should have left the account open just to build a relationship.

Hmmm, maybe credit Karma ignores closed but I believe Fico calculates AAoA on all accounts, both open and closed.

100% Ficos: EX 780 , TU 783, EQ 776 inquiries last 2 years/1 year/6 months: EX-0/0/0, TU-0/0/0, EQ-1/0/0~ last credit card app 6/24/13- New car loan 3/8/2014- Discover IT $12,500~Kohls $1000~Amex BCE $4000~ Walmart Discover $7500~NFCU Signature CashRewards $23,300 Chase Freedom MC $6000~ Chase Amazon Visa $1900~ Cap 1/HSBC MC $3800~ Amazon Store $7000~ Fingerhut $1050