How would closing my BofA credit card affect my credit score and should I even care?

[janesmith1979]

It is my oldest credit card with one of my highest credit limits, but they are soon going to start charging me a $59 annual fee. Rather than paying an annual fee on a card that I can’t use since it’s close to being maxed out, should I just close it and take the hit to my credit score since I don’t anticipate needing new credit any time soon? (I recently bought a new car and am currently not in the market for a house)    

Edited:

*** I just checked my EQ and TU FICO scores and saw that each had dropped about 20 points compared to before the new car purchase and subsequent inquiries. I've decided to keep the BofA credit card open for another year to see how my scores rebound 6-12 months after the new car purchase, then will again consider closing the BofA card before the annual fee hits next year.

One thing I failed to mention previously is that I have a checking account and regularly bank with BofA since the past 14 years, the same amount of time as I've had the BofA credit card. Even speaking to a supervisor, after talking to a regular customer service rep, would not get them to at least waive the annual fee for the first year as others on this forum have been able to do.

[Anonymous]

Is this a fee that you will have regardless of a balance or not? When my BoA closed (not by choice) my score took a big hit. I purchased a car and house last year so I'm not in the market, but If I had a choice I wouldn't have closed it. A small fee is worth paying to keep my score up. is your next credit up in age a big gap? Are you talking years? Months? Maybe you can hold off on closing it until your next up account is about the same age, that way the only points lost are those made with age.

[cw81]

Closing a card does not necessarily  cause you to take a hit to your scores  the account is still calculated until it drops off  which can be up to 10 years after you have closed it.  Closing it  decreases the amount of  available credit  you have and that affects your utl so  thats  what you  have to be concerned with in the short  term. 

This link provides  a detailed  explanation

http://ficoforums.myfico.com/t5/Credit-Cards/Closing-Credit-Cards/td-p/347190

[janesmith1979]

So I didn't close the card after all, and won't do so for at least another year, if at all.

Jeimy, the annual fee is regardless of whether or not there's a balance on the card. My next oldest card was opened just a year after this one.

cw81, thanks for the link. I did see it but I guess was still a little confused because if I had decided to close the card, it would have been with a balance and not paid in full. And if I'm understanding correctly, I don't think closing the card would have any effect on my utilization since it's close to being maxed out and there's already not much available credit on it, anyway.

Another BofA customer posted that their annual fee got dropped, so maybe mine will be, too! I'll find out on my next statement.

Thanks for both of your input!