Posts: 2,876
Registered: ‎02-02-2012
Re: Should I close these cards.....struggling to understand utilization...PLEASE help???

So you have 4 cards in all?

Am I reading it right?


Credit One: 0/700

Citibank: 0/500

NFCU: 0/500

NFCU: 1516/3000


Is this correct?


If you don't want to bite the fee every month (I wouldn't), then go ahead and close it even if it affects your AAOA. You're still in the rebuilding process, so better now than later on. Who wants to pay $120 bucks when you got three better cards?


If you do close that card, ideally you'd want to have the balance on your NFCU card to be under 9%, which would be $360 based on the three cards (500+500+3000 = 4000) and then 4000 * 9% = 360.


Use the other two but PIF before the statement date to keep at 0. And start bringing that NFCU balance down.

Follow my financial journey:

EQ FICO (01/16/2012): 656 - EQ FICO (02/16/2012): 743 - EQ (02/24/2012): 760 - EX (04/28/2012): 739 - GOAL 2013: 800+

AMEX BCE (0/10K) --- BOA 1-2-3 (0/15.9K) --- Discover More (0/6K) --- Chase Freedom Visa (0/1.4K) -- Hyatt Visa Sign. (0/5.8K) -- Barclay's NFL Card (0/7.5K) -- Chase Sapphire Preferred (0/5K)