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Will my score drop if I let a credit card die off?

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SouthJamaica
Mega Contributor

Re: Will my score drop if I let a credit card die off?


@Fitzgibbons wrote:
I have a secured credit card from when I was repairing my credit.

I have no use for it any more. I never use it, but I got a notice saying that they will cancel it if I don't use it.

Obviously, this will affect my overall revolving credit limit (just $500 of like 17,000 total or so), but what about my average revolving line history? Or will it remain factored in even though the card has been closed?

What's my best course of action regarding my useless secured card from here on out?

Assuming it's one of your oldest cards, I would make an occasional small charge from time to time and keep it open.

 

You "average revolving line history" is meaningless for scoring purposes.


Total revolving limits 741200 (620700 reporting) FICO 8: EQ 701 TU 704 EX 685

Message 11 of 16
Anonymous
Not applicable

Re: Will my score drop if I let a credit card die off?


@Fitzgibbons wrote:
I used it 6 months ago

Sounds like a swipe every 5-6 months is the best way to go here.

 

I don't think you said how old this card is, or how old your next oldest card is, but for the sake of numbers let's say 10 years and 6 years...

 

A decade from now would you rather your AoOA be 20 years or 16 years?  Perhaps with that 20-year account factored in it could mean the difference of an AAoA of 7.5 years verses 6 years.  Who knows, as that's a long ways away.  Having that 20-year account on your CR though a decade from now would only positively impact your profile.

Message 12 of 16
Anonymous
Not applicable

Re: Will my score drop if I let a credit card die off?

Personally I would keep the card, and buy something stupid like a drink or possibly fill you're gas tank in you're car. 

 

But as others in this post mentioned if you are not using this card anymore, and you feel it will benefit you then close it. I try not to provide advice since it is you're FICO Score here. 

Message 13 of 16
Anonymous
Not applicable

Re: Will my score drop if I let a credit card die off?

I'm a big fan of the self checkout method... could be at a grocery store, Home Depot, or wherever you can check yourself out using CCs.  Every now and again I bring my SD cards to one of these places like the grocery store and I'll swipe each of the SD cards for something nominal like 3 bucks then put the remainder on the card I want the spend toward. 

Message 14 of 16
Thomas_Thumb
Senior Contributor

Re: Will my score drop if I let a credit card die off?


@Remedios wrote:

It will remain on your report for up to 10 years and continue to age during that time. 

 


In many cases 10 years is an optimistic view for cards. My prior paid off/closed mortgage remained for 10 years but, each of my cards dropped off before 10 years as shown below:

 

Card DescriptionDate OpenedDOLADate ClosedDate RemovedTime to removal
Chase Visa1/1/19862/1/200512/1/200612/1/20159 years 0 months
Best Buy (Cap One)1/1/20051/1/200812/1/200912/1/20156 years 0 months
Kohls (Cap One)12/1/20081/1/20093/1/201312/1/20185 years 9 months
Fico 9: .......EQ 850 TU 850 EX 850
Fico 8: .......EQ 850 TU 850 EX 850
Fico 4 .....:. EQ 809 TU 823 EX 830 EX Fico 98: 842
Fico 8 BC:. EQ 892 TU 900 EX 900
Fico 8 AU:. EQ 887 TU 897 EX 899
Fico 4 BC:. EQ 826 TU 858, EX Fico 98 BC: 870
Fico 4 AU:. EQ 831 TU 872, EX Fico 98 AU: 861
VS 3.0:...... EQ 835 TU 835 EX 835
CBIS: ........EQ LN Auto 940 EQ LN Home 870 TU Auto 902 TU Home 950
Message 15 of 16
Anonymous
Not applicable

Re: Will my score drop if I let a credit card die off?

Im not the smartest on secured cards, but it seems to me that you have graduated from its use, but as others have posted the time it has been opened coupld impact you, so it would be wise to change it over to a standard card and maybe set it up as a standard monthly subscription like a tv service for about $10 or so (if you use one) and set to pay full balance each month, then just cut the card up and forget about it.  As you use it every month, perhaps you will get another suprise statement saying they have raised your limit Smiley Happy

Message 16 of 16
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