When to close a CC Account.

[Jazee]

I had 4 CCs with AAoA of just under 5 years. No inquiries or new accounts in over two years. Just got two new cards. Eyeballing a third. Have no use now for my NFCU Platinum anymore. It's about 15% of my total limit. My UTI is low 30% will be < 30% within a month of the new accounts reporting. No other Synch cards other than Amazon store card at $10k. 12% DTI. A little concerned about AA especially due to 2-3 new accounts in 30 days 

Would closing the NFCU Platinum have likely a net negative or net positive from AA risk perspective compared to score effect? The new accounts will take my AAoA to about 2.7 years. Would the negative  effect on UTI and AAoA from closing outweigh any benefit to lowering AA risk?

After closing how long will the account still be factored into AAoA?

[Im-back]

Bad call. Sock drawer it if you aren't using it. Whatbto you hope to achieve my closing a tier one card?

[FicoMike0]

I don't think closing a card will do anything except raise your utilization.

[KatzNDawgs]

Agree with the others that it is pointless to close that card. With such a young/thin file, there is no benefit to closing a no AF card - just sock drawer if you don't want to use it. It adds to your age and total util, so that is good.

[SouthJamaica]

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@Jazee wrote:

I had 4 CCs with AAoA of just under 5 years. No inquiries or new accounts in over two years. Just got two new cards. Eyeballing a third. Have no use now for my NFCU Platinum anymore. It's about 15% of my total limit. My UTI is low 30% will be < 30% within a month of the new accounts reporting. No other Synch cards other than Amazon store card at $10k. 12% DTI. A little concerned about AA especially due to 2-3 new accounts in 30 days 

Would closing the NFCU Platinum have likely a net negative or net positive from AA risk perspective compared to score effect? The new accounts will take my AAoA to about 2.7 years. Would the negative  effect on UTI and AAoA from closing outweigh any benefit to lowering AA risk?

After closing how long will the account still be factored into AAoA?

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Don't close it.

It doesn't cost you anything.

30% utilization is NOT good at all.

Closing it will cost you even more points.

[Snook_on_the_Line]

If you pay for Amazon prime then product changing it into a flagship card would probably be the best move

the annual fee on the flagship is $49 

but you get a $139 credit if you pay your annual prime membership with the card

making the effective annual fee $-90

[Kforce]

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I agree with the others.

With your utilization, age of accounts, number of accounts, etc., it would

be better to keep the card for awhile.

Unlike many on the forum, I am not against closing cards.

However one needs to evaluate your own profile first.

If you had 840+ ficos,  AAoA's 10+ years, 12 cards, <1% utilization, total CL's  > yearly income,

then it could be a consideration.

4 cards, 5 years  ---> No (keep it)