Help Reducing Number Of Credit Cards

chaseraider85 · ‎06-10-2019

Hi All,

I have been on my rebuilding journey for some time and things are finally starting to come together for me. I started my rebuild in the low 500's last year and am now in the low to mid 600's across the board. Now that I am starting to get approved for prime cards I would like to close some of the cards with lower limits, high rates and fee's but do not want to hurt my score by closing them. Below are my details

American Express Optima Card - Opened 02/2019, $1,200 Limit - $0 Balance

Capital One Quicksilver - Opened 03/2015, $1,000 Limit - $104 Balance

Merrick Bank Visa - Opened 05/2017, $1,200 Limit - $0 Balance

USAA Amex - Opened 06/2019, $1,000 Limit - $0 Balance

USAA Visa - Opened 06/2019, $1,000 Limit - $0 Balance

Milestone - Opened 07/2017, $300 Limit - $0 Balance

Reflex Card - Opened 07/2017, $800 Limit - $0 Balance

CreditOne Visa - Opened 07/2017, $400 Limit - $0 Balance

AVANT Loan - Opened 01/2019, $9,000 Loan - $8,377 Balance

Walmart Credit Card, Opened 09/2016, $290 Limit - $0 Balance

The Credit One Card, Reflex Card and Milestone Card all have monthly membership fee's that I really dont like paying just to show that I have credit with them. The Credit One Card does not have an auto pay feature so I have to make sure that I login and pay that every month which is a hastle. My lowest limit is the Walmart Store Card which is not a Visa card so this is classified as a retail card. In a perfect world I would close the Walmart, Credit One, Milestone and Reflex cards now and Keep the Merrick Bank Card, Amex, USAA Amex, USAA Visa and the Capital One Quicksilver. What are your thoughts on closing these? Is there going to be a big credit hit if I do? If you have any suggestions on what you would close and credit implications that would be great. Below are my stats.

AAoA

Experian - 77 Months

Transunion - 77 Months

Equifax - 76 Months

Fico 8 Scores

Experian - 614

Transunion - 643

Equifax - 606

pinkandgrey · ‎06-10-2019

I recently had the same “issue” lol. Here’s what I did: close them all. Close ANY cards you don’t want or use. AAoA won’t be affected until it doesn’t even matter anymore lol. As long as your utilization won’t climb up too high by closing them, don’t worry about it whatsoever. There will always be people that say to keep your oldest account, or to keep any that don’t have AFs, but I. LIKE. SIMPLE. If it’s not doing me any favors, I close it. I care way more about my own peace of mind than a number/score.

Good luck!

Discover It: 26.5k
Amex Cash Magnet: 24.4k
Fidelity Visa: 21.5k
Apple Card: 13k

Anonymous · ‎06-10-2019

@chaseraider85 wrote:

You already have a plan. Just do it!

Remedios · ‎06-10-2019

@chaseraider85 wrote:
Hi All,

I have been on my rebuilding journey for some time and things are finally starting to come together for me. I started my rebuild in the low 500's last year and am now in the low to mid 600's across the board. Now that I am starting to get approved for prime cards I would like to close some of the cards with lower limits, high rates and fee's but do not want to hurt my score by closing them. Below are my details

American Express Optima Card - Opened 02/2019, $1,200 Limit - $0 Balance
Capital One Quicksilver - Opened 03/2015, $1,000 Limit - $104 Balance
Merrick Bank Visa - Opened 05/2017, $1,200 Limit - $0 Balance
USAA Amex - Opened 06/2019, $1,000 Limit - $0 Balance
USAA Visa - Opened 06/2019, $1,000 Limit - $0 Balance
Milestone - Opened 07/2017, $300 Limit - $0 Balance
Reflex Card - Opened 07/2017, $800 Limit - $0 Balance
CreditOne Visa - Opened 07/2017, $400 Limit - $0 Balance
AVANT Loan - Opened 01/2019, $9,000 Loan - $8,377 Balance
Walmart Credit Card, Opened 09/2016, $290 Limit - $0 Balance

The Credit One Card, Reflex Card and Milestone Card all have monthly membership fee's that I really dont like paying just to show that I have credit with them. The Credit One Card does not have an auto pay feature so I have to make sure that I login and pay that every month which is a hastle. My lowest limit is the Walmart Store Card which is not a Visa card so this is classified as a retail card. In a perfect world I would close the Walmart, Credit One, Milestone and Reflex cards now and Keep the Merrick Bank Card, Amex, USAA Amex, USAA Visa and the Capital One Quicksilver. What are your thoughts on closing these? Is there going to be a big credit hit if I do? If you have any suggestions on what you would close and credit implications that would be great. Below are my stats.

AAoA
Experian - 77 Months
Transunion - 77 Months
Equifax - 76 Months

Fico 8 Scores
Experian - 614
Transunion - 643
Equifax - 606

You can safely close them, your utilization will not be affected.

I am a little bit conflicted on closing Walmart card because of transition to Cap One. I would wait and see what happens with that, especially if your scores are rising and you're using the card. If not, close away.

I dont think there is any harm in waiting on closing that one, there are no fees associated with it

Congrats on your rebuilding progress so far

Revelate · ‎06-10-2019

If the AF's bother you in the slightest, close them.

While I'm one of those people pinkandgrey called out re: oldest tradeline and what not, there's a time and a place for it and really they're not substantially older than your other cards anyway. Credit One and similar weren't part of my own rebuild but I would've kicked them to the curb years ago about on the same time horizon as you're doing in your journey.

No credit penalty other than possible revolving utilization changes, and even those are temporary assuming one is PIFing anyway.

Blackswizz750 · ‎06-10-2019

I am glad you evaluate your cards. I would chop anything with a monthly fee or fees to pay a bill. Next, chop items you dont use or plan on using any longer. Hit the garden as you have apped a few times this year.

Congrats on working on your profile.

srloring13 · ‎06-21-2019

Also work on growing the limits on your current cards. I make sure to request CLI at least once every 6 months even when I dont need them. It slowly grows my credit lines so I can start weeding out the smaller limit accounts.

FILED CH7 BK 02/25/13 -- DISCHARGED 06/10/13
Starting Scores 06/10/13 EQ474 EX538 TU503

CYBERSAM · ‎06-21-2019

With exception of Cap1 you should close all of them! They are not the type that can grow or to have for the future. Merrick, Credit1 come on now! ( actually I had them both 🤢)

Just wait for adding new cards, you should be able to add some nice cards soon. Discover is not bad, they actually reduce APRs and do CLI with SP

Awesome job for not have any utilization. 👍

Anonymous · ‎06-21-2019

@srloring13 wrote:
Also work on growing the limits on your current cards. I make sure to request CLI at least once every 6 months even when I dont need them. It slowly grows my credit lines so I can start weeding out the smaller limit accounts.

IMO this is not much different from having lots of cards. Basically you don't need ever expanding CLs, just get "enough".

Remedios · ‎06-21-2019

@CYBERSAM wrote:
With exception of Cap1 you should close all of them! They are not the type that can grow or to have for the future. Merrick, Credit1 come on now! ( actually I had them both 🤢)

Just wait for adding new cards, you should be able to add some nice cards soon. Discover is not bad, they actually reduce APRs and do CLI with SP

Awesome job for not have any utilization. 👍

Discover and CUs are not a cure for a common cold.

Telling someone that they should close all but one of their cards is ...well, I am not really sure what that is.

While you're certainly entitled to your opinion and free to express it, the rationale behind such advice should be clearly stated, also.