Closing an account in good standing has little effect on your scores, but consider the following points:
If it is a positive reporting account, it will stay on your reports for 10 years.
You will be losing UTI room. If you had a 500 limit, will you be Ok without it? If you have balances, will the UTI still be under 10% over all?
You have already taken the hit for an INQ and your AAoA has already suffered. Closing an account because of poor customer service is a gesture that may not be heard very far. Is the customer service feature something you need very often?
I have never voluntarily closed an account that I had a balance on, so no experience there at all.
How much is the AF you are trying to save? I am keeping mine open while I am rebuilding, the AF isnt excessive, under 75 a year and I'd rather keep them alive and with positive reporting for now.
I am not sure how closing accounts with a short history would look to lenders. Perhaps if it is a long pattern, they might consider will the account being applied for today also be a 7 month deal?
Some lenders like Chase dont like to see more than 5 new accounts in 24 months. Others have their own rules. I'm thinking you opened new accounts, and they dont look for a corresponding account to see if it was closed, so you would lose a count there.
Just offering things to consider.
GL
