topic Re: Will closing mulitiple new accounts, help or hurt? in General Credit Topics

Will closing mulitiple new accounts, help or hurt?

4yearsin — Thu, 02 Mar 2023 02:19:00 GMT

I went on a app spree 6 months ago

and opened 5 new account ( 3 of them random store cards)

(i know i was on a app spree high and stupid) i know.

when opening i only had 3 accounts with ages of 3-4years old.

Ive been denied stating time recent accounts have been opened,

its been 6 months, since those 5 new accounts

If i closed 2 of the store cards like big lots, overstock.

I just wanna keep the cc's paypal mc and lowes cc

and wish i never opened the the crappy commentity cards.

Would it help when lenders view the list of open accounts if i closed atleast 2 of 5-(big lots and overstock) 6 month old accounts

or do i get a boost once it hits 7 months and i should just hold all and keep gardening.

I just have to open a carecredit next month for extensive

dental work that i have to finance.I was thinking

I should also open a CC so incase the limits are not too high

i dont have to resort on maxing out a card and could split the

balance.

FNBO prequalifed me for 9,400cl when i had utilzation at 4% with one 30 day late 3 years old and score for 768 FICO 8 EX 3INQ AAoA 5.6 years AoOA 16 years AoYA 6 months

I have 3 AU with 10-16 yr history and cl of 3k-15k

Or I also have the option of adding 1-2 more AU

with 6-10 yr history clean and 0 balances.

would that offset the damages of all the new recent accounts

or would closing 2 of the new accounts be better?

Sorry for the long rant, I'm just trying to time and

make sure i can pay this large dentist bill coming up

without being stuck with a high apr on a large balance.

Thank you all.

Re: Will closing mulitiple new accounts, help or hurt?

K-in-Boston — Thu, 02 Mar 2023 02:34:29 GMT

The damage is already done with the new accounts. Even if they are reporting as closed, they will still factor as new accounts for as long as a potential lender and scoring algorithm view them as such. This sting is usually gone by 2 years, but can lessen over time until then. Adding additional new accounts will reset timers when it comes to scoring factors.

Adding aged AU accounts may increase your average age of accounts, but won't relieve the new account penalties or what a lender sees as a lot of recent new accounts. Depending on where that puts you with age metrics, note that you could potentially get rebucketed and scores could even go down by doing so. (Not all scores are created equal, and even with FICO 8 as an example not all 760s are the same as your risk is weighted against other profiles similar to yours.)

If you don't plan to use the cards, no real harm in closing them as long as they don't drastically affect your utilization.

Re: Will closing mulitiple new accounts, help or hurt?

SouthJamaica — Thu, 02 Mar 2023 03:08:30 GMT

@4yearsin wrote:
I went on a app spree 6 months ago
and opened 5 new account ( 3 of them random store cards)
(i know i was on a app spree high and stupid) i know.
when opening i only had 3 accounts with ages of 3-4years old.

Ive been denied stating time recent accounts have been opened,
its been 6 months, since those 5 new accounts
If i closed 2 of the store cards like big lots, overstock.
I just wanna keep the cc's paypal mc and lowes cc
and wish i never opened the the crappy commentity cards.

Would it help when lenders view the list of open accounts if i closed atleast 2 of 5-(big lots and overstock) 6 month old accounts
or do i get a boost once it hits 7 months and i should just hold all and keep gardening.

I just have to open a carecredit next month for extensive
dental work that i have to finance.I was thinking
I should also open a CC so incase the limits are not too high
i dont have to resort on maxing out a card and could split the
balance.

FNBO prequalifed me for 9,400cl when i had utilzation at 4% with one 30 day late 3 years old and score for 768 FICO 8 EX 3INQ AAoA 5.6 years AoOA 16 years AoYA 6 months
I have 3 AU with 10-16 yr history and cl of 3k-15k

Or I also have the option of adding 1-2 more AU
with 6-10 yr history clean and 0 balances.
would that offset the damages of all the new recent accounts
or would closing 2 of the new accounts be better?

Sorry for the long rant, I'm just trying to time and
make sure i can pay this large dentist bill coming up
without being stuck with a high apr on a large balance.

Thank you all.

It won't help you in any way to close them now. It's as simple as that.

Re: Will closing mulitiple new accounts, help or hurt?

Epiki71 — Thu, 02 Mar 2023 03:53:39 GMT

OP,

if you not paying an AF, no need to close them out, as the above member has stated, the damage has been done and it will stay on your credit report for 18 more months.

Re: Will closing mulitiple new accounts, help or hurt?

NoMoreE46 — Thu, 02 Mar 2023 13:24:04 GMT

Did you also apply for that Discover card ?

I am sticking with my suggestions from last month:

Re: how important is to wait a full year between A... - myFICO® Forums - 6643777