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When Not to Cancel Credit Cards Posted on March 27th

We have an article that details the benefits of canceling old, unused credit cards, but is this always a good idea? The answer to that is no. There are times when keeping a credit card line open is actually more beneficial to your overall credit health than closing it. One occasion when you might want to hold off on canceling those older credit cards is when you plan to apply for a major loan. Major loans include such things as a home loan, car loan, boat loan, or other loans in excess of a few thousand dollars. The reasoning behind this is that closing credit line accounts, especially those that you paid on time and in full, can actually lower your credit score. Paying down accounts that ... Tagged as Finance | No Comments » | Continue linkarrow

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