Fashion

[Trudey]

I have several credit cards that have a zero balance and I never use. I've kept them open because some financial "experts" say not to close the accounts. What do you do?

[lolakimono]

They should stay open (assuming that you are monitoring them, in case of fraud) but the possible limit on those can also count against your credit rating. They assume that you COULD charge to the limit, so they can factor that "possible" debt in when you go for a loan.

[kjae]

I am no expert, but I have read and been told that you do not close/cancel accounts because, for whatever reason, it is not good for your credit rating. Hopefully, a reader of this forum will have expertise in the credit field. I have also been told that you should make a nominal charge every so often and pay it off. Can you win???

[Annabellethecat66]

My daughter just had to buy a new car. She said she found out that it is bad for you to cancel your credit cards. She said your credit rating is affected. Do what I do, just pay cash for everything then you don't have to worry about that.

That whole credit rating thing is dumb. She said every time someone hits to get your rating, it adversly affects your ratings.

[MomCat]

If you don't use them for a long time they eventually go on hold. I'm a firm believer in cancelling what you don't need.

[kcladyz]

Well the idea is the oldest cards you want to keep and the newer ones are the ones to close.

[Annabellethecat66]

But it still counts AGAINST your credit. Because the theory is that you can POTENTIALLY use those cards again and run up your bills.

The more money you owe, the better for your rating. As long as you make the right monthly payments and don't make any late ones.

It's all dumb. Just pay case.

[Disneylandfan]

I've closed cards. When you call just tell them you want it noted that you closed the account. My credit score has never been affected. I wouldn't do a lot at one time.

[Trudey]

On 1/1/2015 annabellethecat said:

My daughter just had to buy a new car. She said she found out that it is bad for you to cancel your credit cards. She said your credit rating is affected. Do what I do, just pay cash for everything then you don't have to worry about that.

That whole credit rating thing is dumb. She said every time someone hits to get your rating, it adversly affects your ratings.

[ballyk]

I just closed one I don't use because I was unwilling to pay the annual fee just for my credit rating.