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I have a few store cards that I used during Christmas rush seasons past couple of years that are sockdrawered now because they dont offer much else.
My question is: Is it prudent to close those cards because of non-use or to let Synchrony/Comnity Bank close those cards of their own accord?
Which would affect my FICO scores more adversely?
There really isn't a difference in scoring on who closes a card while it's in good standing - only when a creditor closes it for being overlimit or delinquent, and it then proceeds into chargeoff and/or collections.
For me, I don't use most of my store cards very often either - just if they're giving free shipping or something on the websites or sometimes around the holidays to spread the balances around until they are paid off. I have never really considered closing any of them myself, though, mainly because some of them (and of course, it's the ones I never use anyway) have my oldest account ages. Of course, none of them have annual fees or any of that kind of thing to fuss with. I only have a couple that are Comenity cards, and I haven't had any of them close yet with the recent wave of shutdowns from them, but if they did I wouldn't be upset. I figure at this point it's just a collective lump of unused available credit that does nothing but help with age of account and utilization averages.
@Anonymous wrote:I have a few store cards that I used during Christmas rush seasons past couple of years that are sockdrawered now because they dont offer much else.
My question is: Is it prudent to close those cards because of non-use or to let Synchrony/Comnity Bank close those cards of their own accord? If you are not planning on monitoring the accounts for fraud then you should definitely close them, if you are going to continue to monitor them then it is really a personal choice.
Which would affect my FICO scores more adversely? there is absolutely no difference in reagrds to FICO scoring if the account is closed by the consumer or the lender; some people have a preference based off of asethics (i.e. they personally prefer to see "closed by consumer" on their reports)
Store Cards- Good idea to close if not used?
Yes.