cancel
Showing results for 
Search instead for 
Did you mean: 

Inactive Trade Lines - Close or let it ride til the Creditor closes it?

TBG
Valued Member

Inactive Trade Lines - Close or let it ride til the Creditor closes it?

Hello all:

 

Thanks to the advice of the forum I have had great advances in my credit worthiness.

 

At this juncture there are several trade lines that I am not using and expect to go inactive. I know that the creditors decide when they stop reporting and at some point may even close the inactive accounts.

 

The accounts not being used are:

Chase Freedom $2k CL @ 21.24% (paid off in Apr 2015, not using because of interest rate and never have been offered a CLI, oldest card opened in 2009)

Citi Double Cash $2k CL @ 19.99% (paid off in Apr 2015, not using because all CLI requests denied, opened in 2012)

Apple Barclaycard $3k CL @ 21.99% (paid off in Apr 2015, not using because of interest rate, opened in Nov 2013)

JC Penney Credit Card $2.3k CL @ 26.99% (paid off in September 2014, not used since, spouse uses their JCP account to earn rewards and PIF each month, opened in Jan 2014)

 

The accounts being used are:

Venture $15k CL @ 17.9% (opened June 2015) - PIF

Quicksilver $5k @ 17.9% (opened May 2015, 0% til Feb 2016) - Carrying $3k balance til 0% ends

Discover It $4.5k CL @ 18.9% (opened June 2016, 0% til May 2016) - Carrying $4k balance til 0% ends

American Airlines Store Card $750 @ 25.99% (use this for travel as airfare charged is 6 months no interest, always PIF by month 6, opened Nov 2013)

My Best Buy Store Card $1.5k @ 25.24% (use this for bonus Best Buy points, always PIF each month, opened Dec 2012)

 

I do not like having the accounts sitting around for fear I might miss a fee, change in terms, or something else that would give me a baddie because I did not pay attention. I am not a fan of pulling cards out of the sock drawer every so often to charge something. I am working to keep things as simple as possible.

 

 Obviously the big accounts are all newer but the CLs more than exceed my needs and the 0% balances will be PIF by the promo expiration. With the trade lines as they are now would it be worth the risk to the score to close the accounts I am not using (and don't intend to use)? Or should I just keep them around until the creditor gives up on me using them?

 

Thanks for reading,

TBG

Venture $20,000 | Citi AAdvantage Platinum Select MC $8,500 | Venture One $7,500 | Orlando FCU Visa $5,500 | Quicksilver $3,000 | Alliant CU Visa $2,500 | PayPal Credit $3,200 | JC Penney $3,000 | My Best Buy $750 | Banana Republic $1,300


Credit Karma as of 10/25/16: TU 639 EQ 621
Message 1 of 5
4 REPLIES 4
stellar
Established Contributor

Re: Inactive Trade Lines - Close or let it ride til the Creditor closes it?

Be aware that if you close cards your overall utilization will go up.  Just something to consider.  

 

I would probably escalate your CLI requests to the EO/facebook/twitter before giving up on them.  If that is the only reason you're getting rid of them.

 

 

"I do not like having the accounts sitting around for fear I might miss a fee, change in terms, or something else that would give me a baddie because I did not pay attention."

As for that, there are apps online and on your phone that will keep track of all cards/payments due.  I use prism on my iphone.  Some use mint.

Message 2 of 5
blondy250
Established Contributor

Re: Inactive Trade Lines - Close or let it ride til the Creditor closes it?

I'd only close any card with an annual fee, the Freedom and the Citi double cash being very good cards, just use them and pay them off monthly. In fact if I was to close any cards it be the CAPONE, Best Buy and AA card. 

Fico 8 12/9/17
Equifax 850, TransUnion 842 10/30/17 , Experian 842 12/11/17 . AAOA 12 years Oldest 20
No inquires since 2014
All credit reports frozen
Fico 8 Equifax Bankcard 866 12/27/16
Message 3 of 5
Yes-Its-Me
Super Contributor

Re: Inactive Trade Lines - Close or let it ride til the Creditor closes it?

If you are not using them, close them.  But as another poster noted, your utlization may be affected depending on how you use your cards and if you carry balances...

Message 4 of 5
RobertEG
Legendary Contributor

Re: Inactive Trade Lines - Close or let it ride til the Creditor closes it?

.... and, while not relevant for years, once you close the account, it begins the approximately 10 year period after which the CRA deletes accounts from its files.

Best not to start that ten year clock unless closiing has benefit of avoiding annual fees.

Message 5 of 5
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.