Slashed CL close or not to close ?

[Anonymous]

Hi guys, real quick I have a bestbuy store card opened 2 yrs ago with 10K CL just found out today my CL was slashed down to a dissapointing 304.00 dollar CL. Would it be a wise decision to close that account or just leave it as is for FICO scoring purposes. It was reduced to account inactivity the CSR I spoke with said due to new credit guidlines is the reason for this and the inability to re-instate my old CL. BestBuy stinks thaks in advance for your advice or suggestions.

[MarineVietVet]

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@Anonymous wrote:

Hi guys, real quick I have a bestbuy store card opened 2 yrs ago with 10K CL just found out today my CL was slashed down to a dissapointing 304.00 dollar CL. Would it be a wise decision to close that account or just leave it as is for FICO scoring purposes. It was reduced to account inactivity the CSR I spoke with said due to new credit guidlines is the reason for this and the inability to re-instate my old CL. BestBuy stinks thaks in advance for your advice or suggestions.

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I'm sorry to hear that. In today's credit climate it's so very important to keep activity on whatever cards we have to avoid what just happened to you. I understand if you feel like closing this but I'd keep it open just to have the history.

And remember to use it. 

[haulingthescoreup]

Ah, HSBC strikes again! (note to self: go buy some blank CD's or something before it's too late.)

Even if you close the card now, it will should continue to be listed on your credit reports for 10 years. Equifax has a nasty habit of losing closed accounts early, though. If you let balances report on several cards, it might hurt you to close this one, as it might trigger the "too many accounts with balances" ding for your other cards.

You might want to read fused's "Closing Credit Cards" thread. It's stickied in several places, and I have it linked in my siggy.

I guess my vote would be to keep it open, unless it has a fee (I don't think the store cars do.) If you start using it again, the CL might start rising again, although probably not back up to $10K any time soon. But if it bugs the heck out of you, close it, once you're aware of the implications. Sometimes you have to let sanity trump FICO scoring considerations.