topic Re: Any downside with this? in Credit Cards

Any downside with this?

willwar14 — Thu, 08 Oct 2015 15:22:16 GMT

I want to close my Kohls and Target card, I have absolutely no use for them, I was stupid and opened them when I was obsessed for applying for credit in the summer, would there be any downside to closing them?

Re: Any downside with this?

Anonymous — Thu, 08 Oct 2015 15:27:02 GMT

It looks like your profile is pretty young so I don't think it will effect your AAoA...and the rest of your Util on other cards is much higher so I don't think it will effect your UTIL too much either. With Target, you get the same benefits with the debit card (5% off and free shipping) so if you close it just apply for their debit card linked to your bank account. You might see a little score dip but I don't think too much.

Re: Any downside with this?

Klesko — Thu, 08 Oct 2015 15:27:13 GMT

@willwar14 wrote:
I want to close my Kohls and Target card, I have absolutely no use for them, I was stupid and opened them when I was obsessed for applying for credit in the summer, would there be any downside to closing them?

If they are 0 AF there is no upside to closing them. I would suggest against it.

Re: Any downside with this?

SpiceIslander — Thu, 08 Oct 2015 18:18:21 GMT

Is there an upside to closing them? If you won't use them, you can always use the sock drawer, at least until your profile matures a bit more.

Re: Any downside with this?

Open123 — Thu, 08 Oct 2015 18:19:27 GMT

If you find no use in either, no downside.

Re: Any downside with this?

Anonymous — Thu, 08 Oct 2015 18:28:29 GMT

@willwar14 wrote:
I want to close my Kohls and Target card, I have absolutely no use for them, I was stupid and opened them when I was obsessed for applying for credit in the summer, would there be any downside to closing them?

I feel you. Like you, I was a nub and didn't know anything about inquiries just this last spring. I have a useless J.Crew and Old Navy Store cards. Perhaps in two years I can convert the Old Navy to a VISA.

But so far I've done good to reverse my stupidity since 4/2015. I now have Capital One Quicksilver VISA and MasterCard, Barclay Rewards, American Express Blue Everyday Cash, Citi Double Cash Card, and Discover it. If it wasn't for the Chase 5 new accounts rule, I'd have a Chase Freedom now as well. That will be the final card I'll be targeting when they have a $200.00 sign up bonus.

Now to answer your question. I wouldn't close any accounts if they have no AF; the more accounts you have opened, the better it is for your score. Target and Kohls isn't useless as you might think it is. You can purchase something useful from them once every six months, perhaps a candy bar and a double A battery.

Re: Any downside with this?

Anonymous — Thu, 08 Oct 2015 19:09:36 GMT

If you have no use for them, close them. It will not impact your AAoA, and it's less to manage or worry about.

Re: Any downside with this?

Anonymous — Thu, 08 Oct 2015 19:11:44 GMT

CAPTOOL wrote:

If you have no use for them, close them. It will not impact your AAoA, and it's less to manage or worry about.

Re: Any downside with this?

Anonymous — Thu, 08 Oct 2015 19:18:43 GMT

Send the batteries to my house, LOL... #JustSaying #SingleLife

Re: Any downside with this?

Anonymous — Thu, 08 Oct 2015 19:36:08 GMT

@Klesko wrote:
@willwar14 wrote:
I want to close my Kohls and Target card, I have absolutely no use for them, I was stupid and opened them when I was obsessed for applying for credit in the summer, would there be any downside to closing them?
If they are 0 AF there is no upside to closing them. I would suggest against it.

If they aren't being used, they aren't being monitored for fraud. You don't want an erroneous charge popping up that you won't see. I would just close it. With what little amounts on the CL, you won't take a major hit on Utilization, especially if that Macy's CL is right.

Re: Any downside with this?

UncleB — Thu, 08 Oct 2015 19:40:19 GMT

@Anonymous wrote:
Send the batteries to my house, LOL... #JustSaying #SingleLife

Re: Any downside with this?

DantGwyrdd — Thu, 08 Oct 2015 20:04:41 GMT

@Anonymous wrote:
If you have no use for them, close them. It will not impact your AAoA, and it's less to manage or worry about.

I second that. I've closed my Amazon SC and combined my two Capital One cards just for that reason. Less pics in the profile, but also less things to think about (making sure you charge something every x months to keep it open, etc.). Even though they had had their use, I just didn't see them back in the rotation anymore.

Re: Any downside with this?

Anonymous — Thu, 08 Oct 2015 20:34:19 GMT

If you have no use for the cards, then close them. It may or may not impact your AAoA. The closed account can remain on your profile for up to 10 years.

Re: Any downside with this?

Anonymous — Thu, 08 Oct 2015 23:22:50 GMT

Seems many people are telling you to close your unwanted account, but I've seen number of accounts get graded as well, not just the typical 30% debt, 35% payment history, 10% new credit, 15% length of credit history, 10% credit mix.

But I myself wouldn't close it as it gives your potential lender more informatioin on your credit habits. But as they've said, it won't affect your AAoA because the account in good standing will still remain your your CR for 10 years. And besides, I don't mind these store cards giving me a 5% off shopping day. I wait in anticipation for them, 5% off some double A batteries and a candy bar once every 6 months.