Ok so my friend had 2 accounts with balances, He closed both with a balance and is currently paying them off while accounts are closed. My question is if this is ok with the creditor it self and would doing this close the doors if you ever apply for a CC with the same bank? Hopefully it makes sense.
Discover IT $2,600- First Premier MasterCard $1,000- Dillards Store Card $300- Fingerhut Advantage $200
Did the account continue to report on open accounts or closed accounts section? Im assuming it reported the new balance every month right.
@chalupaman wrote:With my card apps, I think I had one report and I was still able to get two WF cards. I think it would be a more serious issue if the account was deliniquent or showed up as a derog or something. With that said, he should pay off the cards as soon as he can just in case.
Right I would also think as long as the account is not delinquent then there shouldn't be a problem.
@bdhu2001 wrote:I've only did this with one account. It was an AT&T mastercard that they decided to start charging an annual fee on. At any rate, it didn't have an adverse affect and the limit continued to be reported as the actual limit. Thus, it didn't adversely affect my utilization either. In fact, it still factored into utilization as if the limit was available even though it wasn't. Once I paid it off, it was no longer calculated as part of utilization.
After you finished paying the account it refelcted a $0 balance correct?
@BearsAndTurtlesRtheBest wrote:Ok so my friend had 2 accounts with balances, He closed both with a balance and is currently paying them off while accounts are closed. My question is if this is ok with the creditor it self and would doing this close the doors if you ever apply for a CC with the same bank? Hopefully it makes sense.
How high was the utilization on the accounts you closed? As long as you pay them off without missing any payments, you should be able to get another card from that issuer in the future. Did you by any chance enter into a debt management program?
@thelethargicage wrote:
@BearsAndTurtlesRtheBest wrote:Ok so my friend had 2 accounts with balances, He closed both with a balance and is currently paying them off while accounts are closed. My question is if this is ok with the creditor it self and would doing this close the doors if you ever apply for a CC with the same bank? Hopefully it makes sense.
How high was the utilization on the accounts you closed? As long as you pay them off without missing any payments, you should be able to get another card from that issuer in the future. Did you by any chance enter into a debt management program?
This was my friend not me and Im not sure on the untilization nor the amount owed when closed. And thats what Im thinking as long as he doesn't miss any payments there shouldn't be any problems.