Should I close Credit One Bank Visa?

[GrayStar]

I've had the card since 2017 and they are charging a ridiculous annual fee of $8.25 per month which equates to $99 per year. I'm not sure what's the purpose of continuing to pay the fee while having a very low credit limit then they also charge for CLI's which is insane. They also reported my account as 30 days late in 2019 because they said that I didn't pay the bill on the due date which I did plus they don't have autopay which is crazy. I've tried to get them to remove the annual fee or cancel the card several times and they always trying to do everything under the sun to keep you as a customer by saying they can waive the fee for up to 3 months. What are your thoughts about this?

[CYBERSAM]

They are a credit builder. As soon as they have reported 6 months history, they have served their purpose! Most people cancel them after a year.

This card is not going to go anywhere. Also with low credit limit, its not a good idea to show balance. 

I had them, canceled it within a year.

[GrayStar]

You right, it is a credit-builder and served its purpose. The bad part about it is that it's hard to cancel them in which I've tried so many times and act like I'm frustrated about it, all they do is "sweet" talk you into staying with them by waiving their fee for up to 3 months instead of removing it. What I can say is they are much better than First Premier Bank when it comes to building credit. What I don't like is...well..their higher fees, I mean who doesn't?  

[Slabenstein]

What are your current FICOs, what other open cards do you have, when were they opened, and what are their limits?

[GrayStar]

EX: 680, TU: 692, EQ: 688. I have Bank of America Secured $300 (2014). Discover It $1500 (2018). Amex $2400 (2020). Citi $1000 (2018). Wells Fargo $1500 (2019). Best Buy $2000 (2020). Navy Federal $3000 (2016). USBank $1600 (2019). Capital One $1500 (2018). Credit One $650 (2017).

[Ficoproblems247]

Kick it to the curb!!! Don't let them "sweet talk" you into keeping a product you no longer have any need for, as you have an entire arsenal of better cards. The card will remain on your credit reports for ~10 years and continue to contribute to your AAoA. I see literally 0 reason to keep it, and a whole list of reasons to cancel. Make sure if you do cancel to keep an eye out for trailing interest or charges because they are notorious for hitting you late with those fees and if you're not paying attention you may wind up with another late payment reported. 

[GrayStar]

Thanks, that really helps. 

[Slabenstein]

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@GrayStar wrote:

EX: 680, TU: 692, EQ: 688. I have Bank of America Secured $300 (2014). Discover It $1500 (2018). Amex $2400 (2020). Citi $1000 (2018). Wells Fargo $1500 (2019). Best Buy $2000 (2020). Navy Federal $3000 (2016). USBank $1600 (2019). Capital One $1500 (2018). Credit One $650 (2017).

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I would dump them yesterday.  It looks like you have unsecured cards w/ several prime lenders & the Cred 1 in question is not your oldest account.  If the major lenders have extended you unsecured lines w/ no AF, you don't need to rent credit any more.

[GrayStar]

You are so right. Since I'm now on the prime side of credit building with the top banks, it doesn't make any sense to keep Credit One. It completely served its purpose and I will do the right thing. Thanks.