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Will closing my equity line of credit lower my FICO?

Established Member

Will closing my equity line of credit lower my FICO?

I have a $30K equity line of credit that has been open for 2 years.  It renews this month for the next 12 months at a cost of $50.  Granted $50 ain't much but I have never touched the LOC neither do I plan on doing so in the next 12 months.  Question:  Will closing this hurt my FICO since I will technically have $30,000 less in available credit going forward?  Or do LOCs count differently somehow than a credit card?  Any feedback would be appreciated.
 
Thanks
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Moderator Emeritus

Re: Will closing my equity line of credit lower my FICO?



mpsp wrote:
I have a $30K equity line of credit that has been open for 2 years.  It renews this month for the next 12 months at a cost of $50.  Granted $50 ain't much but I have never touched the LOC neither do I plan on doing so in the next 12 months.  Question:  Will closing this hurt my FICO since I will technically have $30,000 less in available credit going forward?  Or do LOCs count differently somehow than a credit card?  Any feedback would be appreciated.
 
Thanks


 
If it is reporting as a revolving line of crdit then it depends on wht your utilization would be after.  Would you go from 1-9% to 10-30?
 
I'm assuming its not your oldest radeline since you had to have a house to get itSmiley Very Happy



Message Edited by Brammy on 08-23-2007 04:51 PM
Message 2 of 4
Moderator Emeritus

Re: Will closing my equity line of credit lower my FICO?

hang onto it.
Message 3 of 4
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Established Member

Re: Will closing my equity line of credit lower my FICO?

my credit util may creep up as it is being reported as a revolving account.  I'm in the process of looking for a bigger house soon, so for now, I'm hanging on to it and will cancel once the house purchase is said and done.  Thanks!
Message 4 of 4