|
|
| *Ostroff, Fair and Company>>>Credit |
Is it really true closing a credit card account is usually bad? |
I just saw this question answered on this forum. The "best" answer said once closed, the info on credit account vanishes. However, I've check my credit report several times over several years with all three agencies. ALL the credit cards I've had and cancelled are there, along with histories of max credit extended, and how long the accounts were open. Some of these accounts had been cancelled nearly 10 years before. I don't know about what others see, or are allow to "count" on credit reports, but it is not true these histories disappear from your credit history. Fact-- -Closing a credit card lowers your overall credit line. Which is a part of your credit score. The higher your credit line the better it is for your score. Fact number 2. Closing credit cards can limit your credit history thus lowering your credit score. Fact number 3 . Leaving an open account can NOT hurt your score in anyway. So unless you pay an annual fee, there is no reason to cancel it unless you simply dont trust yourself. But the bottom line is you never really know what will happen in your individual case. Nothing may happen, or your score could drop a quite a bit. old credit cards will still show up.... something ijust heard on the radio is that there are companies that will rent good credit they will (for a fee) put you as a authorized user on a person with a good payment histories credit card. and when you are added on a credit card it will show up on your credit record as your credit card and will make your score go up almost instantly....... look into it. ask your grandma or someone with a good credit history to add you and waalaa it will help Dave www.Pa-Cichlids.com I used to work as a private investigator and you'd be amazed how long some companies keep a record of your credit accounts. If you've ever held credit with anyone, it can be found easily through online databases. All it takes is your SSN or even your last name. Kind of makes you a little more weary of the Internet, huh? PI for several years Items on your credit report should stay on there for about 7 years. Eventually, they will drop off. If I were you, I would just pay off the cards and just shred them. Revolving credit is one of the best positive hits you can get. Pay it down, yes. That reduces your debt load and brings up your score. Do not leave it empty. An unused card is as bad as a closed one. Use it every month for something small, like the water bill. Pay it back to 0 every month. This will build your credit score faster than anything else. I went from a 420 score to a 709 score in 6 months using techniques and tips from a ton of places. This was the best tip of any I received. |
| Tags |
| Investing Insurance Credit Corporations Other - Careers & Employment Technology |
Finance Categories--Copyright/IP Policy--Contact Webmaster |