topic Re: Advice on which to close in Credit Cards

Advice on which to close

RyGuy4690 — Mon, 20 Jun 2011 03:32:05 GMT

Hello Guys,

Very long time lurker.. never thought I would end up posting on this forum! I really appreciate all your tips you have given me over the years. I am asking for a small favor, I want to know what cards to close out? I feel like I should do some cleaning up.

I would like to share my portfolio of cards currently:

Amex Platinum Charge Card- open date 10/09

Amex Blue Cash- 3,000 CL- open date backdated to 10/09 (opened on 3/11)

Chase Slate- 5,000 CL- opened 1/11

Chase Sapphire- 5,000 CL- opened -8/10

Bank of America Power Rewards Platinum- $2,500 CL- opened on 02/11

Bank of America Platinum WorldPoints- $2,500 CL-opened 04/08

Discover More- $1350 CL- opened 12/09

Sears Mastercard- $1000 CL- opened -07/09

Citi Dividend Cash Back- $7,500 CL- opened 07/08

Macys store card- opened 04/08

Best Buy store card hsbc- 1500 CL- opened 05/09

I would love to hear your advice on what to do with these cards?

Re: Advice on which to close

llecs — Mon, 20 Jun 2011 04:32:08 GMT

I know the Platinum has a fee...any others?

Why do you want to close them? Less to think about? AF?

Be sure to read Closing Credit Cards

Re: Advice on which to close

trumpet-205 — Mon, 20 Jun 2011 05:34:00 GMT

Depending on your spending pattern, my decision may differ from yours.

I would close,

Best Buy Store Card

Sears MC

Both BofA cards. (You already have Chase Sapphire as alternative to AMEX)

I would merge the following card,

Chase Slate CL transfer into Chase Sapphire.

I would PC the following card,

Blue Cash into either Blue Cash Everyday/Preferred, or Blue Sky/Preferred. (This depends if you travel a lot, or do you want to close AMEX Platinum for high AF)

Re: Advice on which to close

Anonymous — Mon, 20 Jun 2011 05:47:56 GMT

+1 on llecs' reply You can close Amex charge card due to the AF.

+1 on trumpet's reply too. I agree ~ everyone's spending habit is different.

About your store cards:

Are these cards gives you some discount when you make a purchase?

Do you shop a lot at these stores?

Do you get a lot of benefit by using these cards compared to other rewards cards?

May be you can close three of store cards, if you really want to close some.

Sears Mastercard- $1000 CL- opened -07/09
Macys store card- opened 04/08
Best Buy store card hsbc- 1500 CL- opened 05/09

How about ~ question like these ~

Do you like to and able to combine the two cards with BoA? Do they let you do it?

Which Chase cards do you like or gives you more benefit ... Slate? or Sapphire?

These are the keeper ... definitely ... unless you want to close one each with Chase and BoA

Amex Blue Cash- 3,000 CL- open date backdated to 10/09 (opened on 3/11)
Chase Slate- 5,000 CL- opened 1/11
Chase Sapphire- 5,000 CL- opened -8/10
Bank of America Power Rewards Platinum- $2,500 CL- opened on 02/11
Bank of America Platinum WorldPoints- $2,500 CL-opened 04/08
Discover More- $1350 CL- opened 12/09
Citi Dividend Cash Back- $7,500 CL- opened 07/08

Re: Advice on which to close

Anonymous — Mon, 20 Jun 2011 14:14:39 GMT

I am curious why people would close store cards if there is no annual fee? All I can see is the positive with store cards...just because an account is open does not mean you have to carry a balance

Re: Advice on which to close

smc733 — Mon, 20 Jun 2011 14:17:49 GMT

@RyGuy4690 wrote:
Amex Platinum Charge Card- open date 10/09
Amex Blue Cash- 3,000 CL- open date backdated to 10/09 (opened on 3/11)
-Unless you benefit from the Platinum card, closing plat should be fine

Chase Slate- 5,000 CL- opened 1/11
Chase Sapphire- 5,000 CL- opened -8/10
-Merge these two, you should be able to roll them into a $9,500 Sapphire card

Bank of America Power Rewards Platinum- $2,500 CL- opened on 02/11
Bank of America Platinum WorldPoints- $2,500 CL-opened 04/08
-See if BofA will let you merge them, if not, power rewards > worldpoints, see if you can convert the worldpoints to power rewards, then close the new PW.

Discover More- $1350 CL- opened 12/09
-Close this unless you run a lot through it

Sears Mastercard- $1000 CL- opened -07/09

Citi Dividend Cash Back- $7,500 CL- opened 07/08
-Keep open

Macys store card- opened 04/08

Best Buy store card hsbc- 1500 CL- opened 05/09

Close the subprime cards, denoted in purple.

Re: Advice on which to close

Walt_K — Mon, 20 Jun 2011 14:25:32 GMT

@Anonymous wrote:
I am curious why people would close store cards if there is no annual fee? All I can see is the positive with store cards...just because an account is open does not mean you have to carry a balance

I don't understand this either. Is it because the person is worried about the card being closed down for inactivity and potentially having a notation on the report that the card was closed by credit grantor and that it might then look worse on manual review?

Re: Advice on which to close

Anonymous — Mon, 20 Jun 2011 14:34:25 GMT

If a credit card company closes a card themselves. I don't think it is fair to put a notation like that on the report. Maybe they can say something like "closed due to longterm inactivity". Has this actually happened to anyone?

Re: Advice on which to close

Walt_K — Mon, 20 Jun 2011 14:40:28 GMT

@Anonymous wrote:
If a credit card company closes a card themselves. I don't think it is fair to put a notation like that on the report. Maybe they can say something like "closed due to longterm inactivity". Has this actually happened to anyone?

I have had cards closed due to inactivity that say exactly that, "closed due to inactivity." But I think I have seen "closed by credit grantor" for the same thing. I could be wrong on that though. I am thinking about my wife's report, and I might be misremembering.

Re: Advice on which to close

smc733 — Mon, 20 Jun 2011 14:57:49 GMT

Some people just don't like having things hanging out there. I like simplicity, I shoot for 4 cards that I can manage (using only 2 at a time)...

Re: Advice on which to close

Walt_K — Mon, 20 Jun 2011 15:02:30 GMT

@smc733 wrote:
Some people just don't like having things hanging out there. I like simplicity, I shoot for 4 cards that I can manage (using only 2 at a time)...

Yes, forgot about that. I only have three cards and can't imagine ever having more than 5, so I wasn't even thinking about it. It's still pretty simple to put it away and forget about it. If it gets shut down, so be it. But if you are worried about monitoring the card to make sure no fraudulent transactions post, that could be a hassle with a lot of cards.

Re: Advice on which to close

trumpet-205 — Mon, 20 Jun 2011 15:02:58 GMT

If you don't shop at that store frequently, why would you keep it?

Store cards are store specific, low CL, and most of the time have high APR. To many people they are considered sub-prime.

Re: Advice on which to close

Anonymous — Mon, 20 Jun 2011 15:03:42 GMT

@Anonymous wrote:
+1   on llecs' reply        You can close Amex charge card due to the AF.
+1   on trumpet's reply too.    I agree ~ everyone's spending habit is different.

About your store cards:
Are these cards gives you some discount when you make a purchase?
Do you shop a lot at these stores?
Do you get a lot of benefit by using these cards compared to other rewards cards?

May be you can close three of store cards, if you really want to close some.
Sears Mastercard- $1000 CL- opened -07/09
Macys store card- opened 04/08
Best Buy store card hsbc- 1500 CL- opened 05/09

How about ~ question like these ~
Do you like to and able to combine the two cards with BoA?   Do they let you do it?
Which Chase cards do you like or gives you more benefit ... Slate? or Sapphire?

These are the keeper ... definitely ... unless you want to close one each with Chase and BoA
Amex Blue Cash- 3,000 CL- open date backdated to 10/09 (opened on 3/11)
Chase Slate- 5,000 CL- opened 1/11
Chase Sapphire- 5,000 CL- opened -8/10
Bank of America Power Rewards Platinum- $2,500 CL- opened on 02/11
Bank of America Platinum WorldPoints- $2,500 CL-opened 04/08
Discover More- $1350 CL- opened 12/09
Citi Dividend Cash Back- $7,500 CL- opened 07/08

I agree. I remember reading from somewhere awhile back that store cards have less of an impact on your credit than regular bank provided cards. So getting rid of them will be a good idea if you are "cleaning up" your report.

Re: Advice on which to close

smc733 — Mon, 20 Jun 2011 15:04:03 GMT

@trumpet-205 wrote:
If you don't shop at that store frequently, why would you keep it?

Store cards are store specific, low CL, and most of the time have high APR. To many people they are considered sub-prime.

Exactly,

I think my profile with

BofA

Chase

Citi

Discover

Amex

Just doesn't sit well with a GEMB store card on that otherwise very prime list, one reason I'm planning on ditching my Amazon card soon.

Re: Advice on which to close

Anonymous — Mon, 20 Jun 2011 18:41:32 GMT

@smc733 wrote:
@trumpet-205 wrote:
If you don't shop at that store frequently, why would you keep it?

Store cards are store specific, low CL, and most of the time have high APR. To many people they are considered sub-prime.
Exactly,

I think my profile with
BofA
Chase
Citi
Discover
Amex

Just doesn't sit well with a GEMB store card on that otherwise very prime list, one reason I'm planning on ditching my Amazon card soon.

It sounds like we are on the same page ~ aren't we?

What do you think OP?

Re: Advice on which to close

Anonymous — Mon, 20 Jun 2011 20:17:55 GMT

I would close the low limit cards:

Discover

Sears

Best buy

Bank of America Power Rewards Platinum

Re: Advice on which to close

Anonymous — Mon, 20 Jun 2011 22:51:04 GMT

@Anonymous wrote:
I would close the low limit cards:
Discover
Sears
Best buy
Bank of America Power Rewards Platinum

Why? It's becasue of low CL? We need to look at other than just low CL.

Re: Advice on which to close

RyGuy4690 — Fri, 01 Jul 2011 17:13:19 GMT

How do you merge the Chase cards?

How do you PC the Amex Blue Cash card? Why would I want to PC that card? I like the plat and I do not mind paying the AF..I travel a lot.

Re: Advice on which to close

Hopelives2 — Fri, 01 Jul 2011 17:46:44 GMT

Hi Ry,

Welcome to the forums! Your post is very similar to the one that was posted by Scarp just yesterday or the day before. Similar cards, limits, and questions. You may be able to glean some information from that post as well. Believe it is on the 2nd page now of the CC forum section.

I like what the posters before have said. Close the subprime cards as they are no longer needed or probably wanted.

Nice place to be in to pick and choose!

Re: Advice on which to close

RyGuy4690 — Sat, 09 Jul 2011 13:33:07 GMT

Guys- Thanks for all the great information.

I am going to keep the Discover open as a lot of you guys had mentioned.

Chase rolled the Slate CL into the Sapphire so now I have a saph with a 10K CL

Bank of America allowed me to merge the cards, as you guys had said the PW is a better rewards program so now I have the one BOA card that is the PW with a 5K CL

I am keeping the AMEX cards the way they are.

The store cards are just going to stay open.