jspecek9
New Poster
Cash: $ 1.05
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Joined: 13 Oct 2004
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| Credit Card Question |
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Noobie Here 
Say I have not used a credit card for years and they send me a new one. would they automatically cancel the card (if I do not call to have the credit card activated), or is it better to call and cancel myself. I have done this for two other credit cards and it was not the greatest experience. The reason I got so many cards is because during freshman year in college there were credit card stands that allowed you to sign up for about 10 different credit card companies and they would give you like free shirts and other stuff. That was over five years ago, and I have only used about 2 cards total. I dont want the loan companies to see that I still have 8 cards. Any advice would be appreciated. Thanks in advance.
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Wed Oct 13, 2004 11:31 pm |
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xboxundone
Senior Member
Cash: $ 67.83
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I would do this.
See which cards you have had the longest and which ones you have the highest credit on.
Keep those two cards as the longer you hold an account the better.
Cancel the others by phone call and ask them where you can send a letter of cancellation to? And send a cancellation letter.
If you do both of those your card will get cancelled correctly. I have done this and it worked great. Hope all goes well.
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Thu Oct 14, 2004 11:37 am |
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jspecek9
New Poster
Cash: $ 1.05
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Joined: 13 Oct 2004
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xboxundone,
I will do this. Its just that the two other times I have cancelled my cards, they try everything within their power to keep me onboard. Im assuming that is their job, but it is quite troublesome. Thanks for the info.
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Thu Oct 14, 2004 5:57 pm |
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xboxundone
Senior Member
Cash: $ 67.83
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They will try to keep you on with them as they don't want to lose you as a customer. You just have to keep saying no. As they will offer you reward type cards and cashback bonus cards etc... but stick with the ones you choose and cancel the rest.
I would also try to keep a card that gives you rewards if the two cards you are going to keep dont have rewards call them up and ask them if they can switch your card to a rewards type on I am sure if they have it they will switch it.
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Thu Oct 14, 2004 6:03 pm |
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BlankenshipFP
Money Talk Advisor
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Location: Illinois
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I have not done this, but I understand that you can call the Credit Reporting Agency's "Opt Out" pre-screening hotline - for Experian, Innovus, Equifax, and Trans Union. You can opt out of ever receiving solicitations again, or just opt out for two years. Most solicitations originate from or are screened by these four agencies, so it should work.
This is the number - 888-567-8688. As I understand it, you'll have to leave quite a bit of information on each resident at your address, but it seems like it might be worth it if you are deluged with this junk mail.
Jim Blankenship, CFP�, EA
Blankenship Financial Planning, Ltd.
www.BlankenshipFinancial.com
Standard IRS Circular 230 Notice Applies
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Thu Oct 28, 2004 2:32 pm |
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khorne55
Contributing Member
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It is actually better for your credit score to not close the accounts.
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Mon Jan 31, 2005 9:33 am |
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Andrew
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quote:
Originally posted by khorne55
It is actually better for your credit score to not close the accounts.
Isn't this a depends on situation?
Credit companies may see an individual with $100,000 of unused credit as a credit liability, meaning they are concerned about how deep a debt hole this person could dig themselves, and might be reluctant to offer any more.
For some, with little credit, keeping the card but using it very little might indeed be the best option as far as their credit score.
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Mon Jan 31, 2005 5:23 pm |
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khorne55
Contributing Member
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I believe it is the rule rather than the exception. I have read alot about this subject, I will post some links when I find the info.
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Mon Jan 31, 2005 7:38 pm |
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tysfinancial
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Location: Minnesota
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My advice to you is sometimes you dont have to use the credit card. But as long as you have open the account, and if you have use the card before in previous years, it will still be on your credit report. Though you dont owe a balance it shouldnt hurt your credit. But the best thing to do is call the card company and close it and get a letter stating that the accounts has been closed. Then it will show on your credit report that the account is close. Its always safe to request for a card to be closed, instead of having it sit around unactivated because you never know what just might can happen. I hope this advice helps.
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Wed Feb 02, 2005 4:28 am |
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Mical
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Location: Tampa, Florida
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| Not So Fast..... |
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Before you go cutting up your credit cards I recommend reading Rich Dad's book Guide to Becoming Rich With Out Cutting Up Your Credit Cards When you do things in an innovative way you can use your credit cards as an asset to create wealth quickly. I recomend you take the time to read the book before you make a decision.
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Tue Feb 08, 2005 10:39 pm |
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