If I have a department store credit card that I no longer use, should I just close it? It has a zero balanace?

Question

...and I don't even like the store anymore. I am curious if closing it is better or worse for my credit rating. I do have other cards that carry some balances, all are current with modest amounts used. I would say I have 6 cards in total.

Answer 1

You should cut up the card, but keep the account open.  It looks good on your credit report to have the revolving credit.

Answer 2

I would close it. I increased my credit score from 689 to 722 just by closing old accts and only having 2 open

Answer 3

Use it every so often for one item, pay it off when the bill comes, it will increase your credit score......

Answer 4

If it is an old account, I would not close it. The length of credit history is 15% of your FICO scores and they calculate it based on the oldest "open" account. If this account is 10 years old, then you will loose all that time. If you have a few other accounts that are older than this card, you can go ahead and cancel it.

Just so you know, having a variety of credit helps with FICO scores. Lenders like to see ppl with credit cards, store cards, loans and others. The more variety you have the better your scores would be. If this is the only dept. card you have, don't close it. Keep the oldest credit cards and dept. cards open even if you don't use them. I have one CC from 2000 with a limit of $500 which I never use. All my other cards are 2003, 2004, and 2006. My credit length is 8+ years due to that card. If I close it, then it goes to 2004 and will hurt my scores.