Closing a couple cards?

[kdm31091]

As far as "needing 5 cards to get maximum points", things like mix of credit or optimal number of cards are very minor components overall of your score. You can definitely have an excellent score with only 3 cards, maybe even 2. Yes, you may get a few more points for having 5, but it's not significant and probably not enough to make any real difference to what you'd get out of your score. Once you are in excellent territory you'll qualify for the best rates regardless.

In other words, I don't stress about maximizing every portion of FICO because some of the factors are pretty minor. Paying on time is the most important, and not running up excessive debt. I haven't noticed really any score difference between when I had a dozen cards and what I have now (5 total, one of which is a store card). My utilization has remained very low and my bills are paid on time.

I too had a friend who had 1 single card in good standing for many years, no loans, nothing else, and his score was above 800.

Life's too short to maintain accounts you don't want for the sake of maybe a few points on your credit score IMO.

[Anonymous]

@CramEiko @kdm agreed.

[pinkandgrey]

---

@SouthJamaica wrote:

---

@pinkandgrey wrote:

I have 5 cards currently. You can see them in my signature. Going into 2019, I kind of want to simplify even further. I would love to go down to just 2 or 3. 

Let me start by saying: I’m well aware of all the “consequences” of closing cards— available credit, AAoA, utilization....etc. so don’t waste time trying to convince me to keep anything open for those types of reasons. None of my cards are significantly older than the others anyway. Also, my utilization is never over 10% on any individual card or overall. 

So. Any suggestions on which I should close? I know I want to keep the BCE and the DC, so of the remaining 3, any opinions/advice? 

Thanks!

EDIT: I think I’m almost looking for a “nudge” to close down the cards I want to close LOL. I have reasons to keep each one of them, but I. Want. To. Trim. 

---

I don't know enough about you to know what's important to you but:

1. The Apple Rewards card is probably the least versatile in terms of rewards, and Barclays is the least trustworthy of your banks.

2. US Bank trusted you least, giving you the smallest credit limit.

3. Discover is the only one that is not accepted everywhere.

If it were me I'd probably drop the Barclays card.

---

Very true and good points. That’s the one I’m eyeing the most for closure... and the US Bank. But as I’ve said before, that little voice is nagging me about “potential” rewards associated with those cards LOL 

[pinkandgrey]

---

@kdm31091 wrote:

As far as "needing 5 cards to get maximum points", things like mix of credit or optimal number of cards are very minor components overall of your score. You can definitely have an excellent score with only 3 cards, maybe even 2. Yes, you may get a few more points for having 5, but it's not significant and probably not enough to make any real difference to what you'd get out of your score. Once you are in excellent territory you'll qualify for the best rates regardless.

In other words, I don't stress about maximizing every portion of FICO because some of the factors are pretty minor. Paying on time is the most important, and not running up excessive debt. I haven't noticed really any score difference between when I had a dozen cards and what I have now (5 total, one of which is a store card). My utilization has remained very low and my bills are paid on time.

I too had a friend who had 1 single card in good standing for many years, no loans, nothing else, and his score was above 800.

Life's too short to maintain accounts you don't want for the sake of maybe a few points on your credit score IMO.

---

Amen to that. I don’t like to keep accounts open just for the sake of a possible, tiny score increase. 

[Anonymous]

If you absolutely must chop cards, I would chop the Barclays for sure. 

My personal opinion for the second card is the BCE but depending on your needs, that may be ill-advised in which case I would close the US Bank card. 

If you close one of your other cards, Barclays may just decide to CLD you and eventually close that card anyway - they’re pretty well known for their skittish garbage behavior and that’s likely a huge factor in Apple being rumored to ditch them. 

As for the optimum cards for your score, I always thought it was 3 revolvers and 1 installment paid below 8.9% that was recommended as the “optimal” formula for FICO scores and that adding additional accounts was not necessary from a score perspective. 

[HeavenOhio]

I'd keep both AMEX and Discover because of their limits. Plus, they kind of define your profile.

And I think you should keep two Visa/Mastercard products just because it's a good idea to have two. If you have both an AMEX and Discover, that means four cards.

I'd ax Barclays. Is there a reason that your US Bank limit is so much lower than the others?

[pinkandgrey]

---

@HeavenOhio wrote:

I'd keep both AMEX and Discover because of their limits. Plus, they kind of define your profile.

And I think you should keep two Visa/Mastercard products just because it's a good idea to have two. If you have both an AMEX and Discover, that means four cards.

I'd ax Barclays. Is there a reason that your US Bank limit is so much lower than the others?

---

I actually posted that story awhile back LOL. US Bank initially denied me, then sent me a ton of letters telling me why I was denied, and then unexpectedly sent me the card. I was actually surprised the limit wasn’t a mere $500 LOL 

[Anonymous]

---

@kdm31091 wrote:

BCE is really nothing special at this point IMO, no big loss if you close it.

---

Yes, just to reiterate:  OP mentioned high grocery and gas spend as a reason to keep.   Gas is nothing special on this card, gets the same as DC does.   So it's really only grocery.   As I mentioned, it's at most $60 a year over DC on groceries, and this means: a) maxing out, b) a restricted view of grocery stores, and c) potentially reduced acceptance.   Plus rewards come a month later than any other issuer.  (It's got better once they dropped the $25 increment for redemption)

Sure, there are pluses, such as high CL and maybe Amex Offers.  I don't think customer service on this tier of card is anything special but whatever.   I would think the Cash+ is potentially more valuable.

TL/DR:   IMO, BCE is an over-respected card here, even now that Sallie Mae (RIP) is no longer available.