I was asked this week, "Should I close my credit cards?" The answer is no.
It is almost never a good idea to close your credit cards. I have had many clients pay off and close credit cards before coming to see me, thinking they were doing the right thing. Many times the first thing I had to do was help them re-open new credit card accounts.
Closing a credit card does not actually cause you to lose credit for the history of the account, although this is a common myth you will come across online. However, when you close a credit card account you could increase your aggregate (that is your combined) revolving utilization ratio. If your revolving utilization ratio increases then your credit scores will probably fall.
To learn more about revolving utilization and how it impacts your credit scores, click here.
Need to establish new credit card accounts? Click here are some options to consider.
HOPE4USA helps our to work toward resolving their credit problems every day. If you would like to know more about what it takes to have healthy credit please call us at 704-499-9696. Our staff is waiting on your call!
CLICK HERE to schedule a no-obligation credit analysis with a HOPE4USA credit expert.