Credit Card Annual Fees and Monthly Fees

[jtcd]

I have 2 First Premier Bank cards (had them over 4 years $900 limit & 600 limit) and Credit One Bank ( 600 limit 2 years).

I have 2 NFCU cards ( 8,000 & 10,000 limit 9 months & 6 months) and Discover 3,200  limit for 6 months)

Should I close the First Premier and Credit One Bank cards?  I do not use them any longer but I am still paying the fees.

I am planning on purchasing a home next year.

Thank you.

[Anonymous]

It depends on whether you like paying fees for no reasons whatsoever.

[jtcd]

Ok thank you.

My only concern is that if closing them will hurt my chances of qualifying for a mortgage.

[Anonymous]

No, closed accounts will continue to age and report for 10 years so it wouldn't even affect your average age of accounts. You have obvious out grown predatory lenders, time to show them the door.

[K-in-Boston]

To be fair, you might lose a couple of points due to "oldest account" a decade from now when they fall off if you have no other accounts from that time still kicking around. But especially if you're adding a mortgage, your profile will be so much better at that point that it absolutely would not matter.  Certainly no need to keep paying fees on those cards; you have real cards now! Best of luck with the house.

[HeavenOhio]

My only concern is that three cards are optimum for scoring. What do your scores look right now? When do you plan to apply for your mortgage? If it's far enough out, you might have time to apply for a new card.

Still, the fees outweigh the other concerns. Close the cards.

[jtcd]

Scores are 710, 701, 700 fico 8 .

Plan on applying for a mortage in March 2018.

[Anonymous]

You already have 3 cards, garden until mortgage.

[K-in-Boston]

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@HeavenOhio wrote:

My only concern is that three cards are optimum for scoring. What do your scores look right now? When do you plan to apply for your mortgage? If it's far enough out, you might have time to apply for a new card.

Still, the fees outweigh the other concerns. Close the cards.

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Easy to miss, but OP has 3 cards (2 Navy and a Discover) so no concerns.  Good point to consider, though!

Certainly if you are applying for a mortgage in 5 months, I would not apply for anything including CLIs that might result in a hard pull.

[etstrong98]

Close them, you are past the fee monthly fee stage. I won’t hurt your chances at a mortgage. If a card has an annual fee let it be a fee you want to pay because the benefits it offers.