jp asked in Business & FinanceCredit · 1 decade ago

is it better to close an account or leave it a $0 if it is a bank credit card not a reatil one?

6 Answers

  • Anonymous
    1 decade ago
    Favorite Answer

    check these links, then decide what you want to do

    see the FAQ on the first link down but really there's plenty of advice throughout if you have time to read:

    good luck!

    if it helps please remember me cheers

  • 1 decade ago

    Consider your other debt. If you have two cards both with $2000 limits, one with a 0 balance and the other is maxed out, you still have 50% of your available credit. That's good for you credit rating. However if you closed the 0 balance account now you have 0 available credit. That is a blow to your score. If you want to keep the card, buy a little something now and then with it, and pay the balance immediately. Some cards will closed your account for you if there is no activity over a length of time (typically one or more years).

  • It is better to keep the card open. It show that you have had credit with the company and for how long. If you close the account there is no credit report recording of it. GREAT Question!

  • 1 decade ago

    DON'T CLOSE THE ACCOUNT!!!!! Believe me I work as a mortgage broker and credit issues and ways to fix them is what i do for a living as well.

    By leaving the account open you increase your balance to available credit ratio. As a general rule should you go above 30% above your availabe credit (that is all your credit card limits added together minus your total debt on all your credit cards) you will be in trouble

    IN SHORT---keep it...don't close it. If you don't use it that is fine but make sure to keep your eye on it; simple tools are online features

    this will increase your FICO scores over time

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  • Anonymous
    1 decade ago

    Shop around, my thoughts is that it is better to leave a + balance in a bank account (good credit) provided that this is not taken by bank fees, if so take it all out and find another bank that does not even if it is a nominal amount..remember that banks are looking for people to put money into their banks (invest) several even offer money for you to invest into their bank, or other types of things..even the type of card that you are looking for shop around

    Source(s): self study
  • 1 decade ago

    Leave it $0. I wouldn't close it unless you're paying an annual fee to have the card.

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