Jump to content

Please consider disabling your adblocker for CreditBoards if you have not already done so.  This site depends on advertising revenue to stay online.


Sign in to follow this  

Effect on scores for closing small CL's opened after BK?

The last post in this topic was posted 5873 days ago. 

 

We strongly encourage you to start a new post instead of replying to this one.

Recommended Posts

I'm wondering what the score effect will be if I close the small limit card accounts I opened after my BK. The age ranges are all between 2 and 6 years, the bal's are all zero and the pay histories are flawless. Closing them will improve my average account age considerably. I'm going to close one as a test to see the effect, but if anyone has been down that road before and can give me some indication - I'd appreciate it.

 

Thanks.

Share this post


Link to post
Share on other sites

I dont think you should close any of them. They all help your utilization and age. I believe the age will be helped more with open credit card accounts.

Share this post


Link to post
Share on other sites

if they have annual fees or monthly membership fees then it may make sense to close them. I have closed a couple of my post BK toy cards. Sure your scores may dip, but they will rebound in short order.

 

Be sure that before you close ANY of them that you have other positive TLs, namely higher limit lower fee cards, open.

Share this post


Link to post
Share on other sites
if they have annual fees or monthly membership fees then it may make sense to close them. I have closed a couple of my post BK toy cards. Sure your scores may dip, but they will rebound in short order.

 

Be sure that before you close ANY of them that you have other positive TLs, namely higher limit lower fee cards, open.

 

The OP was alluding to gaining points by closing, fee's are a reason to close but FICO is not.

Share this post


Link to post
Share on other sites
You gain nothing by closing them I'm not sure why you feel this is an advantage? Please advise?

 

I gain older average age of my accounts. Also, I presently have 11 open credit card accounts, and the 7 small limit cards only account for 10% of my available credit. I'm thinking 4 open cards looks a LOT better than 11. And the cards I plan to close are 1st Premier, Orchard etc. -- all high rates and low limits with nowhere to go.

 

Thanks.

Share this post


Link to post
Share on other sites
You gain nothing by closing them I'm not sure why you feel this is an advantage? Please advise?

 

I gain older average age of my accounts. Also, I presently have 11 open credit card accounts, and the 7 small limit cards only account for 10% of my available credit. I'm thinking 4 open cards looks a LOT better than 11. And the cards I plan to close are 1st Premier, Orchard etc. -- all high rates and low limits with nowhere to go.

 

Thanks.

 

the accounts you have that are old are closed due to the BK correct? closing open accounts will not help you.

Share this post


Link to post
Share on other sites

I can't agree that 4 cards looks better than 11. My guess is each card closing will cost say, who knows let's make up a number, 8 points. If you are going to do it I suggest you space your card closings 7 months apart or so.

Share this post


Link to post
Share on other sites
You gain nothing by closing them I'm not sure why you feel this is an advantage? Please advise?

 

I gain older average age of my accounts. Also, I presently have 11 open credit card accounts, and the 7 small limit cards only account for 10% of my available credit. I'm thinking 4 open cards looks a LOT better than 11. And the cards I plan to close are 1st Premier, Orchard etc. -- all high rates and low limits with nowhere to go.

 

Thanks.

 

the accounts you have that are old are closed due to the BK correct? closing open accounts will not help you.

 

 

No - my oldest, best accounts are 2 high limit cards (25K) over 15 years old, and the third is 4 years old with a 5K limit. The fourth one was opened this year (10K limit). Those four account for 90% of my available credit and calculate to an average age of 8.5 years. Add in the "toy" cards and the average age goes down to 5 years.

 

Thanks.

Share this post


Link to post
Share on other sites
No - my oldest, best accounts are 2 high limit cards (25K) over 15 years old, and the third is 4 years old with a 5K limit. The fourth one was opened this year (10K limit). Those four account for 90% of my available credit and calculate to an average age of 8.5 years. Add in the "toy" cards and the average age goes down to 5 years.

 

Thanks.

 

WOW!

 

how did you get to keep those account through the BK process??????

Share this post


Link to post
Share on other sites

"No - my oldest, best accounts are 2 high limit cards (25K) over 15 years old, and the third is 4 years old with a 5K limit. The fourth one was opened this year (10K limit). Those four account for 90% of my available credit and calculate to an average age of 8.5 years. Add in the "toy" cards and the average age goes down to 5 years."

 

If you both closed the newer cards and got them deleted of your report your score might go up. Just closing them and leaving them on your report won't impact your average age of accounts until they fall off of your credit reports in 10 year.

Share this post


Link to post
Share on other sites
If you both closed the newer cards and got them deleted of your report your score might go up. Just closing them and leaving them on your report wont impact your average age of accounts until they fall off of your credit reports in 10 year.

 

Good point Alex, and very true

 

P.S. where you been man?

Share this post


Link to post
Share on other sites

Just asking, would it do any good to keep it open, dispute it off, let it age, CLI over time, then get it re-reported after its aged w/CLI or no?

Share this post


Link to post
Share on other sites

The last post in this topic was posted 5873 days ago. 

 

We strongly encourage you to start a new post instead of replying to this one.

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Sign in to follow this  




  • Member Statistics

    • Total Members
      179,435
    • Most Online
      2,046

    Newest Member
    Zakiyyah
    Joined

About Us

Since 2003, creditboards.com has helped thousands of people repair their credit, force abusive collection agents to follow the law, ensure proper reporting by credit reporting agencies, and provided financial education to help avoid the pitfalls that can lead to negative tradelines.
×
×
  • Create New...

Important Information

Guidelines