Quick question about credit card.

**cheappearls** · 07-13-2007, 05:12 PM

Hi.

Dh and I switched to a different credit card company (USAA) from Capital One because of better interest rate and benefits. We've had the C.O. card for 2 years, the USAA card for almost 6 months.

The plan was to cancel the C.O. card and just have the one credit card but after thinking about it a bit, I'm not so sure. I hope this makes sense.

Would it be better to keep the C.O card and just not use it because of how long we've had it looks better on our credit or just cancel it and have the one card?

**cheappearls** · 07-13-2007, 05:14 PM

I wanted to add, we are young and still trying to build up our credit history, which is the main reason we have a c.c in the first place. So I'm just worried canceling the card may put a dent in our credit scores which aren't that great.

**Jilse** · 07-13-2007, 06:19 PM

I was told that it was better to just keep the CC then it is to cancel it. If you cancel a credit card it actually looks bad on your credit. Just keep it and don't use it, or cut it up, but keep the account open.

**FrugalMomof3** · 07-13-2007, 06:44 PM

I agree, just keep the card and do not use it ... shred it up if you wish.

**chatterweb** · 07-13-2007, 09:59 PM

Keep it and use it once a year, even for a small amount.
I call these sock drawer cards.
Some issuers send bonus incentives when you let your card got dormant, I just got an offer for Discover for $20.00 cash back if I make 1 purchase between now and August.
No minimum purchase amount.
Free money is always nice!!

It is also better to have an older credit card, since the credit score uses the age of your credit history to determine your credit score.

**sdrjeolsen** · 07-14-2007, 01:43 AM

yep, I say keep it. Just stash it away. It will help your score to keep it.

**jenloveschip2001** · 07-14-2007, 09:55 AM

We have a USAA credit card too. We do all our banking and insurance with usaa. They are awsome!! I guess I would keep the card but I would check account information every so often. I had a friend that she thought she had her CO card paid in full but they had charged her a fee but because it wasn't very much they never sent a bill for it. They finally sent a bill after the next month after they charged her a late fee and raised her intrest rate for being delinquent on the payment. Just check in every month to make sure your balance is still zero or what is should be.

**cheappearls** · 07-14-2007, 11:34 AM

Originally Posted by jenloveschip2001

We have a USAA credit card too. We do all our banking and insurance with usaa. They are awsome!! I guess I would keep the card but I would check account information every so often. I had a friend that she thought she had her CO card paid in full but they had charged her a fee but because it wasn't very much they never sent a bill for it. They finally sent a bill after the next month after they charged her a late fee and raised her intrest rate for being delinquent on the payment. Just check in every month to make sure your balance is still zero or what is should be.

Yeah, I'll still check my statments every month. I already called and cancelled the extras they were charging us for, like payment protection.