Closing Accounts

[Anonymous]

Does it help or hinder the FICO score by closing one of two accounts if you have, say, 10 open accounts, all with balances, but all with less than 25% balance-to-credit-limit ratios.

I've been told (by creditors) both answers - one says it would increase FICO to close a couple of those accounts, another says it hurts my credit score to close any account which has good reporting.  Any thoughts?

Thanks,

Dez

[Anonymous]

It depends.  Are you considering closing one of your oldest tradelines?  In that cse it may reage your credit history causing negative effects.  Try closing the most recently opened of the two and monitor for any adverse affect.  The utilization question comes in to play.  If utilization is at 10% with the accounts open and will be at 25% after closing it may hurt you score somewhat.  On the other hand if utilization is at 25% with the acounts open and would rise to 30-40% after closing, it could hurt your score alot.