What To Consider Before Closing A Credit Card

August 2, 2012 12:00 AM
What To Consider Before Closing A Credit Card

" BOSTON (CBS) – Having a good credit score has never been more important.

Your credit score impacts whether or not you can get a loan, and then the interest rate you will pay once you borrow money.

The credit bureaus put a very high value on a long held credit card, so it’s worth thinking long and hard before canceling a card that you have had for a number of years.

“If you can keep accounts open 5-7 years, that’s when you build your depth and you see your score going higher,” said Al Bingham, an author of several books about improving your credit score.

Another item to evaluate is something called the “Credit Utilization” ratio.

This ratio is calculated by examining the amount of credit you’ve used, compared to the amount you still have left. This can count for about 30% of a score.

If you’re considering closing an account, don’t do it if it is your only card. If you have other cards, examine those balances as well.

“Take a look at your other balances on your other credit cards "

Click here to read the whole article

Google related News

Thursday, August 02, 2012 by Washington Post

US Catholic nuns group to consider response to Vatican critique, demand for ...

American nuns accused of straying far from Roman Catholic doctrine will decide at a national meeting next week whether they should accept or resist a Vatican-ordered overhaul. The Leadership Conference of Women Religious, which represents about 80 ...

Read more
Friday, August 03, 2012 by Grand Island Independent

City council meeting Friday to consider censuring mayor

The Grand Island City Council will meet at 4 p.m. Friday to consider censuring Mayor Jay Vavricek, but the mayor said Thursday afternoon that he welcomes the "discussion" and is ready for the challenge of a recall election. News of the censure meeting, ...

Read more
Thursday, August 02, 2012 by WTVR

Jury to consider felony indictment of suspect in deadly hit-and-run

RICHMOND, Va. (WTVR) – Search warrants attached to a 2004 Dodge Durango shed light on evidence police have collected. That evidence will be on display Monday for a grand jury as they decide whether to indict Elias Webb for the felony hit-and-run ...

Read more
Wednesday, August 01, 2012 by Atlanta Journal Constitution

Atlanta officials to consider crackdown on vehicle booting

Bob Andres, bandres@ajc.com Midtown Promenade on Monroe Dr. near Piedmont park threatens booting if you are not shopping there. Atlanta's City Council is set to consider an ordinance that would strengthen the cityÍs regulation of the vehicle booting ...

Read more