I have read similar topics before, the difference is it's 2022 and things change for the better I suppose, lol. I wonder if spending $5 every 6 months is still enough to keep cards alive in this modern atmosphere... again, It's 2022, take it easy.
I've always read it as 6-12 months, but I personally track on my sheet activity with a 90 day period. The amount doesn't seem to matter (but they may always lower your credit limit if it isn't justified, oh well it happens).
As far as payment after statement cuts, that shouldn't matter. They know you've used it within the month so why do they need your statement to cut?
As far as payment after statement cuts, that shouldn't matter. They know you've used it within the month so why do they need your statement to cut?
as of 1/1/23
@ccquest Because that makes the activity count(after statement) for 2 months instead of 1... then wait 90 days as you said?
Any answers you get will be generalizations, @Yasselife. There are many various factors at play, so the answer depends. For any situation, the outcome may vary by:
- Which lender? Different lenders have different tolerances.
- Which card? I've found that retail store cards will often be closed much more quickly and even without warning than a major bankcard like a Visa or Mastercard. Also, my personal belief is if you're paying an AF for a card but not using it much, it will probably stay open. One such example might be a hotel travel card that has more of a narrow usefulness. You can pay the fee for the "free night" or other perks and probably swipe it much less often without closure. Honestly, I think most lenders would let an AF card stay open almost indefinitely without activity just to reap the fee.
- Do you have deposit accounts with the lender? I've found that having active deposit accounts has seemed to hedge my bets on avoiding closure. I've gone literally YEARS without swiping cards from USAA and my local credit union, yet those accounts stay active. However, I also bank with both.
- How old is the card and how much activity has it seen in the past? If you've got a card that has been open for ten years, been used moderately or heavily before, and goes idle, I believe it may be less likely to be closed for inactivity. On the other hand, a card that got zero or a couple of small swipes may be a prime candidate for closure. My UMB (AFBA Visa) has been open for almost 25 years and it's gone periods longer than a year without swipes. However, it's also had some BT offers that I carried for awhile.
- The answer also may depend on credit profile. A lender may go through their rolls and looking for cards to cut their risk. A strong profile might weather the cuts while someone with a marginal credit score and profile gets axed. I would say that regular usage may be more important for weaker profiles.
From my experience, you can probably go as long as one year with most cards and not be shut down. Like many in the community, I suggest six months is enough to avoid a shutdown with nearly all situations. Yes, there might be an outlier who will shut one down sooner, but that's not the norm. And some lenders will send you a letter advising they intend to close without activity in the near future. I think anything less than six months is completely unnecessary if you're looking for true minimum acceptable activity for the majority of cards.
If you really value a card, I suggest not doing the token Amazon charge or a candy bar. IMO, why bother. You don't have to run up the limit, but I would suggest putting something "real" on there if you really want to keep the card and the credit limit. Token charges could still invite a shutdown or at least a credit limit decrease. I don't see that as true protection and I've never done that.
