Is having a store card helpful to score?

[SouthJamaica]

I have one store card. I also have 14 bankcards that report.

Does having the store card help my "credit mix" and thus enhance my score, or is it meaningless?

[Anonymous]

Definitely no, it is the same as bank cards.

[Anonymous]

http://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/Having-Store-Cards-Necessary/m-p/4278011

[SouthJamaica]

OK so I gather that it's not important to "credit mix" to have a store card.

Now let me ask a different question: would it be harmful to my scores to close my one store card, which has a very low credit limit, assuming the effect on utilization is zilch? Reason I ask: it kind of bothers me to have a card with a $500 credit limit.

[Anonymous]

Great question, SJ.  Answer: no harm at all.  Actually, when the card eventually falls off, you will then have one less store card on your profile, which will cause the insurance industry to score you a bit higher, since they don't like store cards.

Note: if the card were your oldest open account, then by closing it you would affect the factor "Age of Oldest Account" ten years from now when the card falls off.

Final note: if the card was not a store card. and also not a credit card, but instead was a charge card, like the Amex Gold say, then there is some evidence that having it in your profile improves your credit mix (though perhaps only marginally).  Thom Thumb and others looked into that last year I believe.

[SouthJamaica]

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@Anonymous wrote:

Great question, SJ.  Answer: no harm at all.  Actually, when the card eventually falls off, you will then have one less store card on your profile, which will cause the insurance industry to score you a bit higher, since they don't like store cards.

Note: if the card were your oldest open account, then by closing it you would affect the factor "Age of Oldest Account" ten years from now when the card falls off.

Final note: if the card was not a store card. and also not a credit card, but instead was a charge card, like the Amex Gold say, then there is some evidence that having it in your profile improves your credit mix (though perhaps only marginally).  Thom Thumb and others looked into that last year I believe.

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Thanks CGID