Credit cards closed due to inactivity

[minski]

*  CC issuer and model of card that was closed.     ----- Paypal Credit

*  Month/Year it was closed ---------- still open; open since Oct 10, 2016

*  How many months elapsed when no purchases were made?  ----------- n/a

*  How many months elapsed when no payments were made? ---------- n/a

*  Had any purchases been made EVER on the card? ------- NO

*  What is a rough estimate of the person's FICO 8 score, total utilization, and individual utilization when it was closed?  (By individual U we mean utilization on that card, the one that got closed.) --------- 780s; about 5%; n/a

*  When the card was closed, had the cardholder ever been late in payments?  (Even by a few days?)  If so when was the last late payment compared with the approx date of closure? n/a

*  When it was closed did the cardholder have other cards with that issuer?  If so, were any of these closed? ------- no

So, still open. No use ever since opened a little over 2 years ago. Did recently get a letter reminding me that it is available but I'd rather use Blispay and get 2% off in addition to the financing than Paypal credit so unlikely to be ever used.

 *  CC issuer and model of card that was closed. ------- Discover It

*  Month/Year it was closed ------------- still open

*  How many months elapsed when no purchases were made? ------- about 12 months

*  How many months elapsed when no payments were made? --------maybe 11 months?

*  Had any purchases been made EVER on the card? --------- yes

*  What is a rough estimate of the person's FICO 8 score, total utilization, and individual utilization when it was closed?  (By individual U we mean utilization on that card, the one that got closed.) ------ same as above

*  When the card was closed, had the cardholder ever been late in payments?  (Even by a few days?)  If so when was the last late payment compared with the approx date of closure? ------- no

*  When it was closed did the cardholder have other cards with that issuer?  If so, were any of these closed? -------- Yes. Newer Discover It in use.

I didn't use my first Discover It card for about a year since I got the new Discover It with cash back match. It remained open until I placed a $1 Amazon charge at 1 year mark to keep it open until I start using it again.

In about 6 months to a year, I'll give data on Barclay Ring, Fidelity Visa and US Bank Cash+ as I am planning on letting those close from inactivity.

[Save-n-Invest]

FIA Card Services (Fidelity) 3k limit-not useful. Not sure I ever used it. May have used it once or twice. Rep who opened the brokerage account was hard selling the credit card and debit card. CC opened 5/2003, closed by grantor 5/2008.

On the debit card I received a letter a few years ago that the activity was to low. Use debit card before date certain or it will be cancelled. Debit card was used, card cancelled anyway. I talked with a Fidelity rep asking that a new debit card be issued. Four months of phone calls and promises with Fidelity's fingers crossed behind their backs. I finally called again and asked that a check for the total amont in the core account be mailed to my home. FedEx at the door the next morning with a new debit card. 

[Anonymous]

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@Save-n-Invest wrote:

FIA Card Services (Fidelity) 3k limit-not useful. Not sure I ever used it. May have used it once or twice. Rep who opened the brokerage account was hard selling the credit card and debit card. CC opened 5/2003, closed by grantor 5/2008.

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You mention that you may have used it a couple times.  If you did, how many months minimum went by with no activity prior to them closing it?

[Anonymous]

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@DaveInAZ wrote:

Good idea, alot of folks get caught up in CC closures or decreased credit limits from inactivity.

I learned my lesson with the Target Red Card. I got it in 2012 when I was rebuilding, but the thing is I rarely shop at Target, they seem like a Walmart wannabe and the stores are way out of the way for me. I didn't use it for just over a year and they CLD'd me from $1200 to $200. I made a few small online purchases the next few months but they still refused to restore my CL so I closed it, not worth the hassle.

But lesson learned. I still have a no-fee Merrick Bank CC from my rebuild with decent $3100 CL, it hasn't got anything but my $10.80 /mo. Netflix by mail sub for a couple years and that seems to keep them happy. I use Tracfone pre-paid for my cell phone as talking is the least thing I use my phone for and it uses the Verizon in my area, so a $20 airtime purchase every couple of months is my opportunity to toss that onto a seldom used card. My Lowes card has a $10k CL that helps pad my utilization but I also plan to use for deferred interest financing for new flooring in the not too distant future so I take care to use it every few months, I stopped by and bought a $9 house plant in Sept., the first charge since March, right at the 6 month mark.

That article has me thinking about my Cap 1 accounts. I have a QS w/$20k CL from combining two $10k QS, and I also have the no AF Spark Select card with $8k CL. They both have 0% BTs on them so the monthly payments should prevent any inactivity adverse action, but I toss them a Tracfone charge twice a year or so just to be safe. Cap 1 just approved me for a Savor card w/$7k SL in Sept., so I think that indicates they're happy with me, but the Spark BT needs to be paid off by March so I plan to close it then, 1.5% rewards doesn't cut it anymore. I'd love to combine it with Savor but you can't combine biz cards with personal ones, so I'll just try for a CLI on Savor after I close Spark.

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Be aware it was not a Venus Fly Trap

[Anonymous]

All I remember was my Men's Warehouse Card was closed for inactivity after 36 months. I relocated and did not live in a reasonable drive time to shop the stores. Liked them and I did understand after I got over the shock of having it closed (never happened before or since). Maybe 12 years ago. Can not remember.

[chhull00]

*  CC issuer and model of card that was closed.  Citi-Brandsource

*  Month/Year it was closed-    Aug 15 2018

*  How many months elapsed when no purchases were made?- 12 months

*  How many months elapsed when no payments were made?-  12 months

*  Had any purchases been made EVER on the card?- no purchases

*  What is a rough estimate of the person's FICO 8 score, total utilization, and individual utilization when it was closed?  (By individual U we mean utilization on that card, the one that got closed.)-  around 737 and utilazation at 1%

*  When the card was closed, had the cardholder ever been late in payments?  (Even by a few days?)  If so when was the last late payment compared with the approx date of closure?-  na

*  When it was closed did the cardholder have other cards with that issuer?  If so, were any of these closed?-  yes, Citi DC and Best Buy, and they were not closed

[Anonymous]

Hi Chhull00!   Card closed at month 12 after never being used even once.  That sounds very normal -- and even a bit lucky.  A few people have had cards closed as early as month 5 when they were never used even once.  Closure at month 7-8 is certainly common, with month 12-13 being the later end of the spectrum.

When someone uses the card at least once in the first 60 days it gives them a lot more longevity.

Thanks for your help!

[HeavenOhio]

We had a recent thread indicating that AMEX is now closing unused cards 60 days after opening. I don't recall if it was 60 days without activating or 60 days without using.

They'll reopen the card if you promptly call in after the closure. But in this case, the poster had a 30-day late pop up on his report during those 60 days, and he had to go through a lot of extra rigmarole to get his two new cards reopened.

[Anonymous]

Thanks Heaven.  Any way you can find out whether the thread discussed whether the closed Amex cards were activated?  The current advice I have given (in post #2 of the thread) includes this:

*  Always activate a new card within ten days of receiving it.

*  Always use a new card for at least one purchase in the first 90 days.

If the closed cards were not activated, then the advice doesn't need to be changed.  If the cards were activated promptly but just not used for 60 days, then I'll update it.

My own personal approach is to use any new card within 30 days of getting it.  Just part of what it means (to me) to get a new card.  Also because any more if I am opening a new card it means I am chasing some bonus.

We do have a lot of reports of cards that were never used staying open for at least six months.

[HeavenOhio]

AMEX Reinstatement DENIED, scores DROPPED -75, then SUCCESS Reinstatment Story

It might have been 90 days. The cards were opened in June of this year and closed in September. See post 13 of the thread.