Close them or keep them open?
Posted by KC | Posted in Uncategorized | Posted on 11-08-2009
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So I have 10 credit cards right now. But thankfully, not all of them have balances on them. In fact, four of my credit cards now have zero balances, but I have not closed them due to fears that it will knock my debt to credit ratio out of whack (more than it already is) and hurt me more than help me.
But in reviewing this old consumerist post, I’m wondering if I should cancel the zero’d out cards now and continue to do so as I whittle my balances down or if I should just wait until I’m completely debt free and have a little card canceling party? It would be really fun to call these guys up sooner rather than later to say thanks, but no thanks. But my sense is that I should wait.
I’d really be interested to know what you guys think and why? Have any of you experienced adverse effects of closing out your cards while still paying down credit card debt?
I closed all mine (3) once I paid them off. My score did not drop at all. I still (at the time) had a mortgage, car payment, and student loans so that may be part of the reason why it didn’t dip.
For whatever reason, both my wife and I noticed NO change in our scores after closing ALL our cards.
I was looking for it but it never happened
I agree with Debt Dad. If your not going to use them I would close them – less junk in your life to think about & less temptation to use them.
Though if you want to preserve your credit score dump them one or two at a time.
As far as the party….Heck yeah! Your winning celebrate! Drop the accounts and save cards for the party
Close them. Don’t use credit cards and the score won’t really matter. Don’t keep the temptation around. It’s not worth it.
I wouldn’t close them. If you close one or more your existing rates will probably go up making it tougher to get rid of the rest of your debt. Keep up the good work though, it seems like you’re really making progress doing what you’re currently doing.