04-09-2013 06:34 PM
Curious, I've seen a couple posts now, of others asking if certain cards close for opening new accounts.
What about GE cards? Do they sometimes close their cards as well?
04-09-2013 06:39 PM
Not really. I've just recently gotten their Sam's card, and a gas card not through them, so I was a little concerned after seeing the posts.
04-09-2013 06:41 PM
04-09-2013 06:47 PM
Thank you! I feel better now!
I do have another question for you. I believe I have too many store cards. As I was trying to build my file, I didn't read the posts where too many store cards aren't great, lol. Do you suggest I close some of them?
04-09-2013 06:50 PM
This type of forum breeds too much paranoia!
Someone I knew used a Chase Freedom at Staples and two weeks later their house was broken into. This (untrue) story would quickly spread here with people giving precise amounts that it was safe to spend at Staples (or office supply stores) with a Chase card, before your house is at risk.
Bottom line: There is no benefit to a company issuing credit cards and then closing them. Apart from acquisition costs, they make money when you use their cards. They WILL close the card if they feel there is a high risk of default (or other undesirable behavior) but it is not something they would want to do lightly.
Any issuer might want to probe if you open lots of accounts in a short period of time, and your income or length of credit record doesn't appear to justify it. Some may or may not be more sensitive than others. But, if you only do a "reasonable" amount of things, you should be fine.
Recently posted two examples of REAL abuse: Person using the 10 points per freedom transaction (for those grandfathered with checking) generating a monthly bill with 360 PAGES of transactions, before being shut down after a few months. And Citi: a person spending $160K in a month on VR cards at CVS. So you don't have to be that extreme to get into trouble, but opening a few cards over a few weeks really isn't an issue.
04-09-2013 06:56 PM
04-09-2013 06:58 PM
Very good point. Yes, I use them, but not all at once, yay for that! And I pay them off. I appreciate the response!