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Coudy53

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Number of credit card accounts
My score 798. I use 5 cr. cards but have 6 others I no longer use. Dormant 4+yrs. Will closing these 6 hurt my score? Current use of avail. cr. = 2%. With closures, use of avail. cr. still <15%. Thanx.

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Don't close any card.

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I can tell that your high score of 798 is because of all your cards. When you close a card, you don't have its credit limit any more, so it reduces your total credit limit and consequently your overall utilisation. More often than not, the cards we don't use often, or don't want to use any more are old cards that do not offer cash back. Closing those will significantly reduce your average length of credit history and the number of on time payments, two major portions in credit score. Note that a bank will normally close a card after one year of inactiveness, so every once since a while, you have to use it for your expense. You can do that by putting those cards in a sock and randomly withdraw one, say every week (or maybe every month).

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I'm confused, too.

About 20 years ago I remodeled my house. After I paid off the house a 2nd time, I applied for a line-of-credit on this house. When I got approved, they said I had too many accounts on file. I had a lot of hardware store type accounts, a lot of closed accounts, too. So I thought I did the right thing and cleaned house of all the old accounts and accounts long unused. Then I get a comment that I then didn't have enough credit accounts. Now I have a 820-825 score and with 14 open cards and about 8 closed I am told that I should have 21 cards. I'm not too worried about it at this stage of my life. I got really ticked with BofA for replacing my first credit card(Visa) with a Mastercard and it cut off about 5-6 years of credit history when they did this. I have always treated my credit with the utmost respect and would never think of not paying it back. I once got charged an over amount charge on my card when I took out the maximum for a short term borrow/cash advance and their fee put me over. They fixed it for me and waived the fee. I haven't paid annual fees for decades. It pays to speak up when things go wrong and it pays to treat the banks with respect when it comes to credit reporting and credit scores.

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