Should I close my $150 Annual Fee Credit Card?

[Anonymous]

The main question I asked myself after reading all the posts was:  Is it worth paying appox. $228 to gain 10-15 points over the next year?  I have only had the card for approx. 11 months.  I got a Cap One card around the same time $59 AF.  I now have an Orchard Card (got it a week ago) $59 AF.

[Anonymous]

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jackg wrote:

Birddog,

The initial reaction from everyone will be to close it, however, you are aware of all other circumstances in your credit report that will be effected by this action.

First, how many other tradelines do you have? how old is this one? how old are the others? How will utilization be effected? I suggest that you ask yourself all the appropriate questions before you close it.

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If the OP has ONE tradeline opened yesterday, there is no need to keep this card.  Heck if he has no tradelines.  Its better to wait.  these are not credit cards.  Do the math, they are more akin to payday loans wrapped in plastic.

[Anonymous]

I agree with Brammy 100%.  Your score is very important  but being financially responsible and reasonable trumps the score.  Remember your score goes up and down, money in the bank earns more money.  Remember the bigger picture these little AF's, service fees, etc. add up and can drain you.  Save the money and invest it for the future.

[Anonymous]

Well put Brammy and realworldknowledge! I agree totally.

[moonman]

i would paid that card off and invest in a secured card from boa(or wells fargo ect.).eventually they will graduate you and you will receive your deposit back and at least it can put you in a good starting position on getting better offers.

[Anonymous]

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Sylviatob wrote:
Well put Brammy and realworldknowledge! I agree totally.

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Me second .... 

[Anonymous]

Please close that card. Try a local bank or credit union for a secured card. That card is horrible.

[Anonymous]

Yeah - definitely close!

[Anonymous]

The tribe has spoken. 

[BobbyJ]

Hello OP,

I paid in full and closed my First Premier over a week ago and my Fico scores went up 3 pts each.  It is not worth it to keep any high fee cards like them.  :-(

Message Edited by BobbyJ on 03-28-2008 02:50 PM