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Originally Posted by centralnewyorki I actually read recently that it's not a good idea to close accounts when you have other debt. (Not that I know whether or not you actually do, Kristy!) The article I read was on MSN Money, and said that if you have 10 open accounts with $10,000 worth of credit and $6,000 worth of debt, that if you close an account and have $5,000 worth of debt and say, $7,000 worth of credit, that your ratio of debt to credit is higher, thus slightly hurting your credit score. I'm not sure I made any sense, but I guess the writter's reasoning does. I actually had this happen to me. I was so disgusted with Chase because of a grace period for 0% interest (They say it was only 3 months, and I KNOW my original paperwork said 8 months. My fault for not keeping my original paperwork.  ) When I closed my account, my credit rating was a few points lower. it wasn't significant for me, but I suppose it could make a world of difference to some people. |
Yes, I have heard that too but if they have raised your interest this high and they
see you were late, they will watch you like a hawk because you have all this credit
available to you. I really don't know, maybe your bank can give you some advise
before you would do it.