Card Consolidation Help Please

For just about anything you want to get off your chest about credit cards.
19 posts
takeshi
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Re: Card Consolidation Help Please

Postby takeshi » Fri Dec 18, 2015 9:51 am

nycplayboy78 wrote:Reading the forums folks say get a Discover card so which one should I apply for?

Don't just apply because people suggest a given card unless they've carefully considered your requirements. You need to determine the cards that suit you.

Really, you should start with your major spend categories and make sure that you're maximizing rewards on those categories. Worrying over X% of insignificant spend isn't going to be very productive.

As for the Discover it, while the cash back calendar can change from year to year you can look at the current calendar for an idea of what you might be able to expect as far as categories. Are those categories relevant to you? Considering the quarterly spend cap, how much in rewards do you think you'd get?

If you're properly leveraging UR point redemption to maximize point value then you may want to look at the Freedom if you're interest in a quarterly rotator since it also accrues UR points that can be combined with your CSP and transferred.

That said, there's not enough in your posts to really recommend any specific card. Tell us where your spend is going, give us an idea of the volume of spend for each major category (including noncategory if it is significant) and we can suggest cards to maximize rewards on that spend.

nycplayboy78 wrote:My daily drivers are my AMEX BCE and Chase Sapphire Preferred as well as my USAA Debit MC :)

Why these cards? Why the debit card?

nycplayboy78 wrote:I will ask Chase and AMEX for CLI on my accounts as that would be 6 months since opening those two accounts and PIF every month.

Good luck with Chase. For AmEx, Google and read the 3x CLI Guide.

nycplayboy78 wrote:KMD thank you so much for that I was ALWAYS taught that closing accounts in good standing would utterly DESTROY your credit file/history....

You always have to consider your sources, validate, corroborate, etc. Impact isn't fixed with credit. It depends on one's credit profile and the details regarding the change.

kdm31091 wrote:AAOA (average age of accounts), which only accounts for 15% of your score anyway

For the OP. Note the typical relative weights of the factors.
http://www.myfico.com/crediteducation/w ... score.aspx

kdm31091 wrote:Some sites like creditkarma will lower their version of your AAOA

It's not even a version of AAoA. CK provides AAoOA, not AAoA. FICO models consider AAoA, not AAoOA.

kdm31091 wrote:The only time closing accounts is going to hurt you in any significant way is if you are carrying balances and closing the accounts would significantly increase your utilization.

One does not have to carry in order to have reported balances. If reported utilization significantly increases there can be a negative impact. Once can easily do the math to see the impact to revolving utilization. It's just balance(s) / limit(s).

Vermonster wrote:Your closed accounts will stay on your report for 10 years, they just won't be increasing in age like current accounts.

Closed accounts do age.
Last edited by takeshi on Fri Dec 18, 2015 10:12 am, edited 14 times in total.


takeshi
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Re: Card Consolidation Help Please

Postby takeshi » Fri Dec 18, 2015 9:54 am

(nm -- dupe)

nycplayboy78
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Re: Card Consolidation Help Please

Postby nycplayboy78 » Fri Dec 18, 2015 11:55 am

takeshi wrote:
nycplayboy78 wrote:Reading the forums folks say get a Discover card so which one should I apply for?

Don't just apply because people suggest a given card unless they've carefully considered your requirements. You need to determine the cards that suit you.

Really, you should start with your major spend categories and make sure that you're maximizing rewards on those categories. Worrying over X% of insignificant spend isn't going to be very productive.

As for the Discover it, while the cash back calendar can change from year to year you can look at the current calendar for an idea of what you might be able to expect as far as categories. Are those categories relevant to you? Considering the quarterly spend cap, how much in rewards do you think you'd get?

If you're properly leveraging UR point redemption to maximize point value then you may want to look at the Freedom if you're interest in a quarterly rotator since it also accrues UR points that can be combined with your CSP and transferred.

That said, there's not enough in your posts to really recommend any specific card. Tell us where your spend is going, give us an idea of the volume of spend for each major category (including noncategory if it is significant) and we can suggest cards to maximize rewards on that spend.

nycplayboy78 wrote:My daily drivers are my AMEX BCE and Chase Sapphire Preferred as well as my USAA Debit MC :)

Why these cards? Why the debit card?

nycplayboy78 wrote:I will ask Chase and AMEX for CLI on my accounts as that would be 6 months since opening those two accounts and PIF every month.

Good luck with Chase. For AmEx, Google and read the 3x CLI Guide.

nycplayboy78 wrote:KMD thank you so much for that I was ALWAYS taught that closing accounts in good standing would utterly DESTROY your credit file/history....

You always have to consider your sources, validate, corroborate, etc. Impact isn't fixed with credit. It depends on one's credit profile and the details regarding the change.

kdm31091 wrote:AAOA (average age of accounts), which only accounts for 15% of your score anyway

For the OP. Note the typical relative weights of the factors.
http://www.myfico.com/crediteducation/w ... score.aspx

kdm31091 wrote:Some sites like creditkarma will lower their version of your AAOA

It's not even a version of AAoA. CK provides AAoOA, not AAoA. FICO models consider AAoA, not AAoOA.

kdm31091 wrote:The only time closing accounts is going to hurt you in any significant way is if you are carrying balances and closing the accounts would significantly increase your utilization.

One does not have to carry in order to have reported balances. If reported utilization significantly increases there can be a negative impact. Once can easily do the math to see the impact to revolving utilization. It's just balance(s) / limit(s).

Vermonster wrote:Your closed accounts will stay on your report for 10 years, they just won't be increasing in age like current accounts.

Closed accounts do age.


Takeshi thank you for your responses and insight :)

jcarte29
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Re: Card Consolidation Help Please

Postby jcarte29 » Fri Dec 18, 2015 12:22 pm

nycplayboy78 wrote:Ok First Premier Bank credit card is now closed and boy those people are RUDE....Why do you want to close your account? I have had the account for 10 years and I have no benefit in having it now...Well closing accounts is bad and blah blah blah...Ok please close my account...Well I can give you $25 toward your monthly servicing fee...Ummm no ma'am please close my account...WELL FINE YOUR ACCOUNT IS CLOSED....Ok bye...



Boy those jerks haven't changed a bit. I closed two cards with them (one in 2011, the other in 2012) and the conversation was almost word-for-word the same as yours. They just are too butt hurt to realize that as people improve their credit life, FP cards are useless. They stay in business from so many roaches defaulting.

Anyways, all the best to you!
Portfolio:
CITI Diamond Preferred $7,000 [06-16]
AMEX Platinum (Charge) [11-16]
AMEX EDay $12,000 [11-14]
Lowes Store $15,000 [4-14]
CSP VISA $6,000 [7-14]
GM MC $9,000 [9-14]
AAdvantage Red MC $10,350 [10-14]
Discover IT $4,500 [03-15]
Chase Marriott VISA $5,000 [04-15]
Cap One Quick $2,600[4-10]

nycplayboy78
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Re: Card Consolidation Help Please

Postby nycplayboy78 » Fri Dec 18, 2015 12:40 pm

jcarte29 wrote:
nycplayboy78 wrote:Ok First Premier Bank credit card is now closed and boy those people are RUDE....Why do you want to close your account? I have had the account for 10 years and I have no benefit in having it now...Well closing accounts is bad and blah blah blah...Ok please close my account...Well I can give you $25 toward your monthly servicing fee...Ummm no ma'am please close my account...WELL FINE YOUR ACCOUNT IS CLOSED....Ok bye...



Boy those jerks haven't changed a bit. I closed two cards with them (one in 2011, the other in 2012) and the conversation was almost word-for-word the same as yours. They just are too butt hurt to realize that as people improve their credit life, FP cards are useless. They stay in business from so many roaches defaulting.

Anyways, all the best to you!


Thank you for the kind words and I wished I would have dropped First Premier Bank SOONER...ASSHATS!!!! But they are now gone and I feel happy about it with NO REGRETS!!! :)

ingramjuan
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Re: Card Consolidation Help Please

Postby ingramjuan » Fri Dec 18, 2015 11:06 pm

nycplayboy78 wrote:My dilemma is that a majority of these cards are over 10 years old and closing old active credit accounts will DAMAGE one's credit score BADLY...SIGH...


Will i guess you can look at what can save you some wallet space and just try again to combine the two newest capital one cards into your first capital one card. At one time I had 3 capitalone cards due to capitalone purchasing several backs, so i just combined that last card into one of the other cards and they gave me a better card with no AF.... I would card the recon again.
CARDS:
Capital One Platinum (2001) |Capital One QuickSilver World (2002) | Amex Gold Delta (2013) | Best Buy Visa (2013) |Discover It (2015) | Amex Platinum (2015)

Gardening Since: June, 2015

Next Cards:
Personal: Chase Freedom Unlimited
Business: Amex Plum
Store Card: Lowes

JackLane
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Re: Card Consolidation Help Please

Postby JackLane » Sat Dec 19, 2015 7:31 am

Even I was scared like you, to close the oldest credit card. Although my credit history in the US is pretty short, I had to take the card as nobody would give me one because of no history. I got secured card from the local CU but no benefits of any kind. Used it for 5 years like that. When I found this board, my jaw dropped on how these folks are smart at getting most out of their credit cards. So finally after good research and thanks to many folks here for enlightening me, I bit the bullet and closed the card. To my surprise, my score dropped by only 5 points, and in a month, it was back where it was.

You have gotten good suggestions here by the experts. I am trying to walk their path. My current strategy is, analyze my expenses and find the card that gives max cashback in each category and collect each of them with small CLI. Find good cards for travel, with no foreign transaction fee and travel insurance included, so on so forth.

You have gotten suggestion of Chase Freedom. Also look at Discover It. They have double cash back offer for the first year. That itself pays off the card. Plus, if I remember correctly, they don't have foreign transaction fee as well. Please let us know how you work out at the end.
Chase Freedom 04/2012. $6500 | Costco AmEx 10/2012 $8100 | AmEx BlueCash 06/2015, $15000 |Discover It 07/2015, $5200 |Amazon Store Prime 01/2016 $2200
Local Credit Union secured card, 12/2009 - Closed 02/2015
Tu-764, Ex-764

kdm31091
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Re: Card Consolidation Help Please

Postby kdm31091 » Sat Dec 19, 2015 11:44 am

I agree that most of the time people are unnecessarily paranoid as far as closing accounts. Unless it's going to make your utilization skyrocket, you are unlikely to see a major score change from closing a card. Eventually, it falls off and you take the AAOA hit, but we're talking about a decade from now and 15% of your score, so...nothing worth losing too much sleep over. It's not like one would be planning on a mortgage a decade from now or anything.

The point is that outside of utilization, closing a card has no real immediate impact on your score to worry about. On manual review, opening and closing a bunch of cards over and over can look bad, but it doesn't mean you have to be terrified to close a card either. It's a tool. If it's not working for you anymore or just isn't necessary, move on.

thom02099
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Re: Card Consolidation Help Please

Postby thom02099 » Sun Dec 20, 2015 10:51 pm

Another alternative to consider, if you have no need for the Chase Slate and BT, would be to transfer the credit limit to the Sapphire Preferred card and close the Slate. Why apply for another card if the CSP is one of your go-to cards?
Retired, and in the process of retiring cards!
EQ = 846 EX=828 TU = 836 as of 02/2016



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