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Closing Oldest Credit Card with AF

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alovingmommyof3
Valued Member

Closing Oldest Credit Card with AF

OK, I am considering closing two cards actually.  My oldest card is from September of 2007.  It has a $600 limit with no increases for at least two years.  The annual fee is $79 but I get half off knocked off each year by calling in.  The interest rate is 14.9% which is one of my lower interest rates.  It is Orchard Bank who has offered me a card with 7.9% interest and a $35 annual fee.  I doubt I will take it because of the annual fee.  But the interest rate looks good.

 

I also have a Best Buy card with the same stats except it is from July of 2010.  I think it has only had one increase only early on.  The annual fee is $79 but I get half off knocked off each year by calling in.  The interest rate is 14.9% which is one of my lower interest rates.  This one is also from Orchard Bank.  It has same limit as the above card.

 

I am thinking of canceling both.  I rarely use them and the benefits of the best buy card are not that great for me.

 

Would this be a bad idea?

Message 1 of 9
8 REPLIES 8
Guava
Established Contributor

Re: Closing Oldest Credit Card with AF

If you have better cards, I'd cancel them and save some money. They will still contribute to age of accounts for the next 10 years.


Starting Score (08/11/11): TU08: 643
Current Score: TU08: 741
Goal Score: Stay in the 700s; keep reports clean


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Message 2 of 9
LS2982
Mega Contributor

Re: Closing Oldest Credit Card with AF

Are these the only 2 accounts you have? If not what other cards do you have.




EQ FICO 548 3/3/16
Message 3 of 9
alovingmommyof3
Valued Member

Re: Closing Oldest Credit Card with AF

I looked and it is one of my lower interest cards.  Here is the list of other cards with interest rates.  Maybe someday I can negotiate these down.  Or find better rates and cancel some of these. 

 

Thanks for the advice.  Maybe when I garden I can get better interest rates so I won't feel bad about canceling these cards.  I have until the middle of June to cancel the Best Buy card.

 

American Express20.24
 Discover 18.99
 Citi Forward 12.99
 Citi Forward 212.99 
 Best Buy 14.9
 Old Navy 20.24
 Citi Dividend19.99 
 Chase Freedom 22.99
 Citi Hhonors 16.24

Walmart                        22.9

Walmart Discover       22.9

Message 4 of 9
alovingmommyof3
Valued Member

Re: Closing Oldest Credit Card with AF

I was wrong best buy is 18.99 percent interest.

Message 5 of 9
aussiesareforever
Established Contributor

Re: Closing Oldest Credit Card with AF

Off with their heads. You have plenty of cards to justify getting rid of them. Those annual fees add up!


BK in January 2008---Barclay's Apple Financing Card ($10,000) --- Capital One Quicksilver ($13,000)--- Platinum Delta Skymiles ($35,000) --- GEMB CareCredit ($10,000) --- AUFCU ($10000)---Discover IT ($33,000)

Experian 835 Transunion 828-- August 2018
Message 6 of 9
LS2982
Mega Contributor

Re: Closing Oldest Credit Card with AF

I'd axe them considering the other accounts that you have.




EQ FICO 548 3/3/16
Message 7 of 9
alovingmommyof3
Valued Member

Re: Closing Oldest Credit Card with AF

Thanks for advising me on this.  I don't know how many times I read it is a bad idea to close the oldest card.  But if it won't hurt me for ten years, then that gives me plenty of time to build up my score so that when it does hurt I will still be doing good.  So far I think my scores with each bureau are around 720.  Well transunion seems to be lower than that, I don't know since CreditKarma doesn't seem to be updating my score lately.  My credit has changed but my score hadn't gone up or down.

Message 8 of 9
LS2982
Mega Contributor

Re: Closing Oldest Credit Card with AF


@alovingmommyof3 wrote:

Thanks for advising me on this.  I don't know how many times I read it is a bad idea to close the oldest card.  But if it won't hurt me for ten years, then that gives me plenty of time to build up my score so that when it does hurt I will still be doing good.  So far I think my scores with each bureau are around 720.  Well transunion seems to be lower than that, I don't know since CreditKarma doesn't seem to be updating my score lately.  My credit has changed but my score hadn't gone up or down.


Pay no attention to CK's score, it is useless.




EQ FICO 548 3/3/16
Message 9 of 9
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