I am unfamilar with what will transpire with all my CB scores if I close a Card that I dont use which is a very low limit to start with . It gets no activity because there is no great reward and also there is no balance.
I woud like to close it unless it will affect my CB report or my Score then I will leave it. If decide to close whats the best method?
An account closed in good standing will remain on your reports for ~10 years, continuing to age & factor into your age of accounts. The only thing you'll lose is the credit limit. Score will be affected if the loss of the limit causes your aggregate util to increase over a utilization threshold.
If the account is significantly older than your others, then you may experience a score drop when it finally falls off your reports ~10 years down the line.
If you don't use it, close it. You can also let it sit at zero and allow the creditor to eventually close it for inactivity. The difference is an account notation of "closed at consumers request" or "closed by credit grantor".
Alternatively, you can keep it open forever (assuming no fees are involved) and keep it active by charging something small every 3-4 months and immediately paying it off.
In addition, on VantageScore, it will no longer be calculated in you AAoA. Not a big deal, unless you plan to do business with Synchrony.
Thank you for the detail infomation and reponse!. Most of which I was apprised of but was not certain of some other items. The limit will not affect my Utl and the age of card is 2-3 years old. I was uncertain of the amount of tradelines open on report to change which I thought can affect the score ?
I hardly look at vantage score or us it. I didnt plan on it the only upcoming big thing with credit is in June for a pull on credit for my new house to be built .
@ironchef wrote:Thank you for the detail infomation and reponse!. Most of which I was apprised of but was not certain of some other items. The limit will not affect my Utl and the age of card is 2-3 years old. I was uncertain of the amount of tradelines open on report to change which I thought can affect the score ?
Number of open tradelines affects numbers of cards with balances, which can impact your score. That's why the recommended is 3 or more, so you can always manage 1/3 or less reporting a balance if you need to optimize scores (like azeo). If you'll still have 3+ remaining, no worries.
@thornback wrote:
@ironchef wrote:Thank you for the detail infomation and reponse!. Most of which I was apprised of but was not certain of some other items. The limit will not affect my Utl and the age of card is 2-3 years old. I was uncertain of the amount of tradelines open on report to change which I thought can affect the score ?
Number of open tradelines affects numbers of cards with balances, which can impact your score. That's why the recommended is 3 or more, so you can always manage 1/3 or less reporting a balance if you need to optimize scores (like azeo). If you'll still have 3+ remaining, no worries.
EQ requires 4, I believe. There's also speculation that there's a 20% use threshold which would require 5 cards. I haven't looked into it, but I believe @Anonymous was talking about it.
yes well over 3.. okay thanks again
my Utl is 4% and thats with 8 cards which after the one i close it will remain the same . i only carry a balnace on 3 cards all which are very low balance the others aways zero
@Brian_Earl_Spilner wrote:
@thornback wrote:
@ironchef wrote:Thank you for the detail infomation and reponse!. Most of which I was apprised of but was not certain of some other items. The limit will not affect my Utl and the age of card is 2-3 years old. I was uncertain of the amount of tradelines open on report to change which I thought can affect the score ?
Number of open tradelines affects numbers of cards with balances, which can impact your score. That's why the recommended is 3 or more, so you can always manage 1/3 or less reporting a balance if you need to optimize scores (like azeo). If you'll still have 3+ remaining, no worries.
EQ requires 4, I believe. There's also speculation that there's a 20% use threshold which would require 5 cards. I haven't looked into it, but I believe @Anonymous was talking about it.
Really? EQ requires 4? I did not know that.
I am aware of the 20% threshold - it affects my profile, good for 3-5 points.