With the economy down and it impossible to get credit. Do you think it is a good idea to lower the credit standards so that it is easier to get credit. For example. Those that currently have high credit scores should be able to pay no interest on any loans. And those that have fair credit scores should enjoy the low interest rates of the people that had excellent credit. And for those that have poor credit, they should have decent rates, not sky high rates. In other words if they get rid of high interest on loans, do you think the economy will improve?|||I'm all for that, and if for the economy to improve people need to be able to spend, I think it would work. Where I was living they checked credit for everything ... jobs, rentals, etc. in addition for loans, credit cards and the normal stuff.
Surprisingly, a girl we know received her first Visa Card about 2 days after turning 18. She didn't even apply for it, and only works part time ... for the minimum wage. She had been on a co-signed checking account, and they just sent the Visa (only $1,000 ... but still). I guess they want everybody spending.|||Well, first of all a group top economist today said that the economy is due to recover in the first quarter of 2009, and the results will be seen when the numbers come out in march at 3.7% growth.
People borrowing money that can't pay it is bad, and the interest debt could cause the end of the middle class the same way it did in Mexico.|||Sure...(but the other side of the coin would be...)
That it might worsen the economy because it would cause millions of more people getting into debt up to their eyeballs, and...
...nuf said...|||That sounds like a great idea|||sounds good...but pocket protectorate has a point!!!
Thursday, December 15, 2011
What credit agencies do most mortgage lenders use?
We are looking to refinance our house soon. My husbands average fico score is 697 and his average credit score is 740. Why is this such a big difference and will the lenders use the fico score or the credit score?|||It depends on the lender. Every lender has different risk parameters. Back in the 90's, the bank I was with practically gave money away. If your FICO was 640 and the loan was under $150k, it was approved. They are not around anymore.|||Major lenders DO NOT look at the credit scores.
They will review all the reports in detail and make their own decisions.
They will only tell you the score if they turn you down - that way they don't have to explain everything in your credit reports to you.
When that happens people start arguing item by item.
A score is priceless when turning someone down - they tell it to the person - and they are done.
/|||hi ,
While I was looking for credit report, I found a web-site , that offers this service for free (no catches) .They also offer credit monitoring, anti fraud alert, and many more benefits.
Visit: http://CreditReportFrees.info and join free (no catches) .
hope that helps|||If I remember correctly, mortgage lenders look primarily at the FICO score.
They will review all the reports in detail and make their own decisions.
They will only tell you the score if they turn you down - that way they don't have to explain everything in your credit reports to you.
When that happens people start arguing item by item.
A score is priceless when turning someone down - they tell it to the person - and they are done.
/|||hi ,
While I was looking for credit report, I found a web-site , that offers this service for free (no catches) .They also offer credit monitoring, anti fraud alert, and many more benefits.
Visit: http://CreditReportFrees.info and join free (no catches) .
hope that helps|||If I remember correctly, mortgage lenders look primarily at the FICO score.
How do you access the Credit Line of a Credit Card without directly buying anything?
I have one credit card with a credit line of 400(cash line of 80$). I know the max I can draw from an ATM is the 80$. But is there any way I can go into the bank and get the credit line deposited into my bank account?|||The only way would be to do a cash withdrawal, then put the cash in your bank account.
Of course, the APR on a cash withdrawal is usually INSANELY high, so make sure you're willing to throw that money away in the form of finance charges.
Some cards will occasionally offer checks that you can write against your credit card balance, in which case you could probably write one to "Cash" and cash it, but those aren't that common.|||Hi,
I used "Credit Solution" to settle my debt and improve my credit score.They managed to reduce my debt up to 58%.It's legitimate and free consult.I came across this company on NBC News Special Edition.Check it out here:
http://flingk.com/b4briu0
Of course, the APR on a cash withdrawal is usually INSANELY high, so make sure you're willing to throw that money away in the form of finance charges.
Some cards will occasionally offer checks that you can write against your credit card balance, in which case you could probably write one to "Cash" and cash it, but those aren't that common.|||Hi,
I used "Credit Solution" to settle my debt and improve my credit score.They managed to reduce my debt up to 58%.It's legitimate and free consult.I came across this company on NBC News Special Edition.Check it out here:
http://flingk.com/b4briu0
No credit card payments were made for 3 mos because I was unemployed. How do i raise my credit score?
I am now employed and ready to pay off 2 or 3 of my 4 cards. My credit score was very high and is dropping by the second. I need to have a good score in order to buy a car or a house.|||If you only missed three months, then your accounts should still be with the original creditor. Contact the creditors and work out a payment plan with them. Before you call them, sit down and make a budget. Rent, car payment, insurance, weekly gas expenditures, groceries, utilities, etc. to see how much you will be able to pay on your debt each month. Don't go over your budget.
Once you get caught up, pay off your lowest credit card first, then when your pay that off, apply that payment to your next lowest card. It's called the Snowball Effect (Dave Ramsey, Financial Peace).
Example: You owe JCPenney $500, Sears $800, and Visa $1000. If you pay $50 a month to JCP and $30 to Sears, then when you pay JCP off, put that 50 bucks to your Sears balance making it a monthly payment of 80. It works, trust me.
Also, go to your local library and check out Dave Ramsey's book on financial management. It is awesome!
Good luck!|||Capital One secured credit cards have completely changed the meaning of secured credit cards. Capital One secured credit cards provide very reasonable interest rates and perks that many other secured credit cards do not offer, ..http://www.freewebs.com/getanswer/CapitalOneSecuredCreditCards.html
|||Hopefully the credit cards are still with the original creditor and not sent to collections. If the original creditor still has the accounts, you should be able to work with them to keep the accounts open and active. You need at least 24 months of consistent, on time payments to off set the late payments. Pay the cards off. Then use them for small purchases and pay in full every month.
If the accounts have been charged off and/or sold off to collection agencies, the derogatory will stay on your credit for 7 years.
|||Pay your bills. That's the best thing you can do to improve your credit score.
First, get a copy of your credit report. It will show all loans, and whether they are current or overdue. Make sure it's accurate, and correct any errors there.
Next - contact the lenders, and tell them that you are working now, and will be paying on the accounts. Tell them your plan to pay them off, or at least pay the overdue amount as soon as possible. Your plan might look something like this:
List all the loans and accounts you have. Break them down first into the overdue ones, and those that are current. Then sort each group by the total amount due. Pay the minimum payment on all of them, except the overdue account with the smallest balance. Put every single spare nickel you can towards that each month, until it's paid off, then close the account, and ask the lender to update your record with the credit reporting agencies.
Now do the same thing with the overdue account next largest balance due. Add the money you paid on the previous account to the payment on this one. Continue doing this with all the overdue accounts until they are paid. Then do the same thing with the ones that are current.
Then get a copy of your credit report, make sure it shows that everything is paid up. Now think about buying a house or a car.|||you need to contact the lenders and try to work something out with them. tell them your situation and see if you can at least get the default knocked back a bit (as of now, you have a 90 day late on your report. that is serious). any delinquency is on your reports for 7.5 years, unless you can bargain with the lender to remove it.
once you do this...actions speak louder than words. you need to pay ontime, all of the time for the next couple of years. if you do that, and keep your balances low...your credit score will start to go back up again.
i would not apply for any car or home loans until you have gotten some of this sorted out...if you can wait that long.|||Make it your priority that none of the cards go into charge-off status....Send them whatever you can immediately and pay online. Communicate with them and let them know that you can resume payments.
You need to understand that the you'll live with the consequences of the late pays for about 24 months...as your credit score is most heavily weighted on what has occurred in that time frame. You cannot undo the damage of multiple 3+ months late pays overnight....only time will heal the damage.....sorry.
Once you get caught up, pay off your lowest credit card first, then when your pay that off, apply that payment to your next lowest card. It's called the Snowball Effect (Dave Ramsey, Financial Peace).
Example: You owe JCPenney $500, Sears $800, and Visa $1000. If you pay $50 a month to JCP and $30 to Sears, then when you pay JCP off, put that 50 bucks to your Sears balance making it a monthly payment of 80. It works, trust me.
Also, go to your local library and check out Dave Ramsey's book on financial management. It is awesome!
Good luck!|||Capital One secured credit cards have completely changed the meaning of secured credit cards. Capital One secured credit cards provide very reasonable interest rates and perks that many other secured credit cards do not offer, ..http://www.freewebs.com/getanswer/CapitalOneSecuredCreditCards.html
Report Abuse
|||Hopefully the credit cards are still with the original creditor and not sent to collections. If the original creditor still has the accounts, you should be able to work with them to keep the accounts open and active. You need at least 24 months of consistent, on time payments to off set the late payments. Pay the cards off. Then use them for small purchases and pay in full every month.
If the accounts have been charged off and/or sold off to collection agencies, the derogatory will stay on your credit for 7 years.
|||Pay your bills. That's the best thing you can do to improve your credit score.
First, get a copy of your credit report. It will show all loans, and whether they are current or overdue. Make sure it's accurate, and correct any errors there.
Next - contact the lenders, and tell them that you are working now, and will be paying on the accounts. Tell them your plan to pay them off, or at least pay the overdue amount as soon as possible. Your plan might look something like this:
List all the loans and accounts you have. Break them down first into the overdue ones, and those that are current. Then sort each group by the total amount due. Pay the minimum payment on all of them, except the overdue account with the smallest balance. Put every single spare nickel you can towards that each month, until it's paid off, then close the account, and ask the lender to update your record with the credit reporting agencies.
Now do the same thing with the overdue account next largest balance due. Add the money you paid on the previous account to the payment on this one. Continue doing this with all the overdue accounts until they are paid. Then do the same thing with the ones that are current.
Then get a copy of your credit report, make sure it shows that everything is paid up. Now think about buying a house or a car.|||you need to contact the lenders and try to work something out with them. tell them your situation and see if you can at least get the default knocked back a bit (as of now, you have a 90 day late on your report. that is serious). any delinquency is on your reports for 7.5 years, unless you can bargain with the lender to remove it.
once you do this...actions speak louder than words. you need to pay ontime, all of the time for the next couple of years. if you do that, and keep your balances low...your credit score will start to go back up again.
i would not apply for any car or home loans until you have gotten some of this sorted out...if you can wait that long.|||Make it your priority that none of the cards go into charge-off status....Send them whatever you can immediately and pay online. Communicate with them and let them know that you can resume payments.
You need to understand that the you'll live with the consequences of the late pays for about 24 months...as your credit score is most heavily weighted on what has occurred in that time frame. You cannot undo the damage of multiple 3+ months late pays overnight....only time will heal the damage.....sorry.
What is the diffrence between a credit union and a bank?
What are the advatges and disavantage and beniffites of both?
The only thing that is that my bank "BB*T" is extreamly close to my house like walking distance but my credit union wich I am thinking of joining "Fairfax Credit Union" is about 10-15 miniutes from my house so what would you advice me to do? Stay with my bank or move to the credit union or keep my bank and just open a new account with my credit union? Like what are the advatges over a credit union then a bank?|||Here are some other things you should know about banks and credit unions:
Credit unions may often offer you a higher interest rate on the money you deposit (your savings), and a lower rate on the money you borrow (your loan), than banks.
Credit unions are nonprofit and are owned by the people, or “members,” who use their services. Members pay a one-time membership fee (can be as little as $5), and can vote on how the credit union is run. Banks are for-profit, publicly-traded companies that are owned by the stockholders (who vote), but the bank is used by the customers. There is no membership fee at banks.
Credit unions used to be just for people who had the same employer, but now they’re also for members of the same school, church, organization, or community. Banks don’t have any requirements on who can use their services. Here are two sites that can tell you how to find a credit union to join: Credit Union Match Up and 7 Ways to Join a Credit Union
Credit unions are usually smaller than banks, may not have as many branches or ATMs, and may not offer the large variety of services that banks offer. But many credit unions belong to a network of credit unions, so members can use the services of other credit union branches and ATMs instead of just their own.|||The key difference between the two is that a credit union is managed by it's members (customers) regardless of how much money you have in account(s) with them. Each member has one vote in determining the Board of Directors. Whereas, with a bank only those customers with huge amounts of money on deposit are allowed to vote/serve on the BOD. Banks typically charge all sorts of stupid fees that credit unions "typically" fail to charge their customers.
There are exceptions of course to most rules. Federal Credit Unions (FCU - you should see that on their literature and such or just call them and ask) are the best credit unions because they aren't allowed to charge nutty fees for services. Community Credit Unions are starting to slip back into the practice of charging fees just like traditional banks.
My advice: find a good FCU credit union and do your personal banking there. Some credit unions allow business accounts but you have to hunt to find them. They are still better than traditional banks and you'll find good deals on loan should you need to buy a vehicle or home or whatever.|||A credit union is owned by the people who make depsits in it where a bank is a privately run institution. My Uncle belonged to a Credit Union when he was in the army. One advantage is that interest rates on savings are higher than the banks.
The only thing that is that my bank "BB*T" is extreamly close to my house like walking distance but my credit union wich I am thinking of joining "Fairfax Credit Union" is about 10-15 miniutes from my house so what would you advice me to do? Stay with my bank or move to the credit union or keep my bank and just open a new account with my credit union? Like what are the advatges over a credit union then a bank?|||Here are some other things you should know about banks and credit unions:
Credit unions may often offer you a higher interest rate on the money you deposit (your savings), and a lower rate on the money you borrow (your loan), than banks.
Credit unions are nonprofit and are owned by the people, or “members,” who use their services. Members pay a one-time membership fee (can be as little as $5), and can vote on how the credit union is run. Banks are for-profit, publicly-traded companies that are owned by the stockholders (who vote), but the bank is used by the customers. There is no membership fee at banks.
Credit unions used to be just for people who had the same employer, but now they’re also for members of the same school, church, organization, or community. Banks don’t have any requirements on who can use their services. Here are two sites that can tell you how to find a credit union to join: Credit Union Match Up and 7 Ways to Join a Credit Union
Credit unions are usually smaller than banks, may not have as many branches or ATMs, and may not offer the large variety of services that banks offer. But many credit unions belong to a network of credit unions, so members can use the services of other credit union branches and ATMs instead of just their own.|||The key difference between the two is that a credit union is managed by it's members (customers) regardless of how much money you have in account(s) with them. Each member has one vote in determining the Board of Directors. Whereas, with a bank only those customers with huge amounts of money on deposit are allowed to vote/serve on the BOD. Banks typically charge all sorts of stupid fees that credit unions "typically" fail to charge their customers.
There are exceptions of course to most rules. Federal Credit Unions (FCU - you should see that on their literature and such or just call them and ask) are the best credit unions because they aren't allowed to charge nutty fees for services. Community Credit Unions are starting to slip back into the practice of charging fees just like traditional banks.
My advice: find a good FCU credit union and do your personal banking there. Some credit unions allow business accounts but you have to hunt to find them. They are still better than traditional banks and you'll find good deals on loan should you need to buy a vehicle or home or whatever.|||A credit union is owned by the people who make depsits in it where a bank is a privately run institution. My Uncle belonged to a Credit Union when he was in the army. One advantage is that interest rates on savings are higher than the banks.
Does having a good credit score in USA help in obtaining better credit terms in Canada?
I have a credit score greater than 760 in the US. We are planning to move to Canada and buy a home there. Do Canadian lenders have access to/consider US Credit Score when considering an application for credit?|||They may have access and they may not have. You should obtain a printout of your credit history before leaving the US, preferably within the last 30 days prior to leaving, and present it within the same month to a recognised Canadian credit reference agency and ask for it to be included on their database. Should do the trick!|||well no because these are two different states and your credit score is good in the US it might be different in Canada.
What happens when you cancel a credit card?
I currently have 3 credit cards. I just got approved for another and it is in the mail on it's way. I paid off the one with the lowest credit limit, and was thinking about cancelling it and just keeping the other three.
I have been working on building my credit for a long time, and it has been very difficult. Will cancelling this card hurt my score? Or will having too much available credit hurt it? Which is worse? What should I do to keep working on getting my credit score higher?|||Since you stated that you are "thinking about canceling the one with the lowest credit limit" I am guessing that this is most likely the one that you have had the longest.
Since a full 35% of your credit score is based on payment history, do not cancel this card. Keep it and make everyday purchases like gas and groceries. Pay it in full before the due date every month and your score will continue to go up.|||I just recently learned this....Im trying to buy a house and have always paid off then canceled my cards....now I find out thats hurting me. I thought that an open account goes toward your debt-to-income ratio...which if its already high, makes it higher.
|||Nothing, once your cancel it then you don't use it anymore. One time I lost my Capital One credit card around I think at the Pizza Place next Palace 18 in Miami.
|||On a Monday afternoon I went crazy searching for my Capital One card, but it gone. So I called Capital One Co. and told them the story, cancel the lost card and a new one and now I still have it safe in my wallet.
|||Make sure you always pay your bills on time. The smartest thing I do is that I check online, find out the amount, pay it online the total of bill, and that it and I always pay it online a little too early before my due date.
|||Example: let's say your bill is $50.80 and got your bill payment the 10th of August and your due date is on August 30th. I always pay it the date that you got and I always pay it online. That way your Credit Score is good. The earlier, the better your credit score looks. Try it....
|||Cancel the card. While it is true that you need credit in order to build credit, having too many cards is viewed very negatively.
Also each time you inquire about applying for a card it will likely hurt your credit score
|||You should make every effort possible to drop your cards.I recommend
you only use American Express. American Express always expects payment monthly. The path to hell is loaded with people who had a bunch of credit cards. They all say the same thing. I will never max out my cards.
|||The more cards, the WORSE your credit rating! They count the potential of you racking up huge sums of bills against you.
|||It won't hurt you, but it doesn't help either. It will show up on your credit report that you voluntarily closed the account. However, as long as you do not have any fees, it's good to keep it. The more avail. credit you have, the better it is.
|||I work in finance and I'll say to keep it open with less than 30% balance. You can get this information on the 3 bureau's websites. By the way, 3 cards is not a lot at all. Pay on time and keep it under 30% always.
|||I currently have 5 cards with little balances and around $50,000 total credit available. My scores are all in the high 700's
|||DONT CANCEL!!!! THE EARTH WILL BLOW UP!
|||Depends on the card.
If the card has high interest rate and high fees and your newer card is better then cancel it. If its a low fee low interest card then keep it. Use it once awhile and pay it off each month. That way it shows you are paying off your debt.
|||IT IS OK TO HAVE A CREDITCARD BUT WHEN BALANCES INCREASE AND THE PAYMENTS ARE EITHER LATE OR NOT MADE AT ALL, IT REALLY HURTS YOUR CREDIT. RIGHT NOW I AM TRYING TO PAY THE THREE I HAVE AND WILL LEAVE THEM OPEN SO I CAN KEEP BUILDING UP MY CREDIT ....THANKS FOR THE ADVICE.
|||By all means, cancel all credit cards as soon as they are paid off. Credit only makes you a slave to commercial entities which will use Admiralty Jurisdiction Courts to enforce the contract that you have knowingly and willingly entered into.
|||DO cancel that account! You will for get that you have it open and then perhaps at some point the CC company will charge a fee of some kind and you may not know that you owe money. This happen to me, a .35 fee ended up cost many hundreds of dollars in late fees and credit score trouble.
|||Cancelling credit cards makes the Devil cry.
|||too many revolving credit cards can hurt your credit even if you don't owe anything on them. Whatever your credit limit is becomes the potential to have that much debt, increasing your debt -income ratio.
|||no u should be o.k as long u paid it off and keep other low . join truecredit .com it wil show u everything
|||im surprised how many ppl offer their bad advice... keeping the card an open account with a low or no balance will help your credit. especially if you have had it for a long time.
|||Yeah always keep it open, even if you dice it into pieces.
|||Best option: Keep it open and rack up and pay off a small balance in full each month.
Next Best Option: Keep it open and stick it somewhere where you won't use it.
Dumb Option: Cancel it (unless there are fees involved).
|||I have been in the lending industry for 8 years underwriting people's credit. There are many factors that effect your credit. The obvious; paying bills on time, Collections %26amp; Bankruptcy. But, closing accounts, finance companies, inquiries, %26amp; the ratio of debt to capacity all effect your score too.
|||I agree with bear4u. I switched banks %26amp; my two credit cards over. 2 months later, bank #1 sent me a cc bill for 11 cents. If I ignored it, I'd have a neg credit report. I made SURE the accounts were 100% closed out.
Look into a Line of Credit, too, which carries lower interest.
|||uhh lol it is cancled duh! and u cant use it lol
|||I think to answer your question you should know your debt to income ratio. My credit score sky rocketed and I am in the high 700's now when I paid mine off and cancelled. I think that cancelling a card it not a bad thing but if your ratio will not be affected either way I would leave it open
|||The main thing you can do is pay your cards on time. If you have had the card you want to cancel for a long time you should just keep it--one of the things they look at is the amount of time you have had your accounts. Oh, and you should pay off first the one with the highest interest.|||YEs it will hurt your score. Don't cancel it, just don't use it and leave it open. Pay your bills on time when they are due to keep your score good. Don't be late. If your can't afford to get it in cash you probably don't need it.|||DO NOT CLOSE THAT ACCOUNT. This will hurt your score.
Keep it open, charge a few dollars only every month...pay it off in full monthly, rinse and repeat.
DO the same for all your cards to keep your score going up. Good luck.
FYI...ideally you should only have 2 cards, and at least one non revolving loan (car loan etc) for a good credit mix to crank out good scores over time, too many cards can hurt you.
I have been working on building my credit for a long time, and it has been very difficult. Will cancelling this card hurt my score? Or will having too much available credit hurt it? Which is worse? What should I do to keep working on getting my credit score higher?|||Since you stated that you are "thinking about canceling the one with the lowest credit limit" I am guessing that this is most likely the one that you have had the longest.
Since a full 35% of your credit score is based on payment history, do not cancel this card. Keep it and make everyday purchases like gas and groceries. Pay it in full before the due date every month and your score will continue to go up.|||I just recently learned this....Im trying to buy a house and have always paid off then canceled my cards....now I find out thats hurting me. I thought that an open account goes toward your debt-to-income ratio...which if its already high, makes it higher.
Report Abuse
|||Nothing, once your cancel it then you don't use it anymore. One time I lost my Capital One credit card around I think at the Pizza Place next Palace 18 in Miami.
Report Abuse
|||On a Monday afternoon I went crazy searching for my Capital One card, but it gone. So I called Capital One Co. and told them the story, cancel the lost card and a new one and now I still have it safe in my wallet.
Report Abuse
|||Make sure you always pay your bills on time. The smartest thing I do is that I check online, find out the amount, pay it online the total of bill, and that it and I always pay it online a little too early before my due date.
Report Abuse
|||Example: let's say your bill is $50.80 and got your bill payment the 10th of August and your due date is on August 30th. I always pay it the date that you got and I always pay it online. That way your Credit Score is good. The earlier, the better your credit score looks. Try it....
Report Abuse
|||Cancel the card. While it is true that you need credit in order to build credit, having too many cards is viewed very negatively.
Also each time you inquire about applying for a card it will likely hurt your credit score
Report Abuse
|||You should make every effort possible to drop your cards.I recommend
you only use American Express. American Express always expects payment monthly. The path to hell is loaded with people who had a bunch of credit cards. They all say the same thing. I will never max out my cards.
Report Abuse
|||The more cards, the WORSE your credit rating! They count the potential of you racking up huge sums of bills against you.
Report Abuse
|||It won't hurt you, but it doesn't help either. It will show up on your credit report that you voluntarily closed the account. However, as long as you do not have any fees, it's good to keep it. The more avail. credit you have, the better it is.
Report Abuse
|||I work in finance and I'll say to keep it open with less than 30% balance. You can get this information on the 3 bureau's websites. By the way, 3 cards is not a lot at all. Pay on time and keep it under 30% always.
Report Abuse
|||I currently have 5 cards with little balances and around $50,000 total credit available. My scores are all in the high 700's
Report Abuse
|||DONT CANCEL!!!! THE EARTH WILL BLOW UP!
Report Abuse
|||Depends on the card.
If the card has high interest rate and high fees and your newer card is better then cancel it. If its a low fee low interest card then keep it. Use it once awhile and pay it off each month. That way it shows you are paying off your debt.
Report Abuse
|||IT IS OK TO HAVE A CREDITCARD BUT WHEN BALANCES INCREASE AND THE PAYMENTS ARE EITHER LATE OR NOT MADE AT ALL, IT REALLY HURTS YOUR CREDIT. RIGHT NOW I AM TRYING TO PAY THE THREE I HAVE AND WILL LEAVE THEM OPEN SO I CAN KEEP BUILDING UP MY CREDIT ....THANKS FOR THE ADVICE.
Report Abuse
|||By all means, cancel all credit cards as soon as they are paid off. Credit only makes you a slave to commercial entities which will use Admiralty Jurisdiction Courts to enforce the contract that you have knowingly and willingly entered into.
Report Abuse
|||DO cancel that account! You will for get that you have it open and then perhaps at some point the CC company will charge a fee of some kind and you may not know that you owe money. This happen to me, a .35 fee ended up cost many hundreds of dollars in late fees and credit score trouble.
Report Abuse
|||Cancelling credit cards makes the Devil cry.
Report Abuse
|||too many revolving credit cards can hurt your credit even if you don't owe anything on them. Whatever your credit limit is becomes the potential to have that much debt, increasing your debt -income ratio.
Report Abuse
|||no u should be o.k as long u paid it off and keep other low . join truecredit .com it wil show u everything
Report Abuse
|||im surprised how many ppl offer their bad advice... keeping the card an open account with a low or no balance will help your credit. especially if you have had it for a long time.
Report Abuse
|||Yeah always keep it open, even if you dice it into pieces.
Report Abuse
|||Best option: Keep it open and rack up and pay off a small balance in full each month.
Next Best Option: Keep it open and stick it somewhere where you won't use it.
Dumb Option: Cancel it (unless there are fees involved).
Report Abuse
|||I have been in the lending industry for 8 years underwriting people's credit. There are many factors that effect your credit. The obvious; paying bills on time, Collections %26amp; Bankruptcy. But, closing accounts, finance companies, inquiries, %26amp; the ratio of debt to capacity all effect your score too.
Report Abuse
|||I agree with bear4u. I switched banks %26amp; my two credit cards over. 2 months later, bank #1 sent me a cc bill for 11 cents. If I ignored it, I'd have a neg credit report. I made SURE the accounts were 100% closed out.
Look into a Line of Credit, too, which carries lower interest.
Report Abuse
|||uhh lol it is cancled duh! and u cant use it lol
Report Abuse
|||I think to answer your question you should know your debt to income ratio. My credit score sky rocketed and I am in the high 700's now when I paid mine off and cancelled. I think that cancelling a card it not a bad thing but if your ratio will not be affected either way I would leave it open
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|||The main thing you can do is pay your cards on time. If you have had the card you want to cancel for a long time you should just keep it--one of the things they look at is the amount of time you have had your accounts. Oh, and you should pay off first the one with the highest interest.|||YEs it will hurt your score. Don't cancel it, just don't use it and leave it open. Pay your bills on time when they are due to keep your score good. Don't be late. If your can't afford to get it in cash you probably don't need it.|||DO NOT CLOSE THAT ACCOUNT. This will hurt your score.
Keep it open, charge a few dollars only every month...pay it off in full monthly, rinse and repeat.
DO the same for all your cards to keep your score going up. Good luck.
FYI...ideally you should only have 2 cards, and at least one non revolving loan (car loan etc) for a good credit mix to crank out good scores over time, too many cards can hurt you.
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