- Gold Member
- Posts: 30
- Joined: Thu Jul 05, 2012 9:59 am
- Location: NY
First of all, sorry for so many recent questions, but, as mentioned before, I am new to the credit game!
I currently have 3 things open:
1. Capitol One card - $275 limit (it pains me to write that) - Opened November 2011
2. Three year auto loan - Opened March 2012
3. Citi Forward card - $3,500 limit - Opened July 2012
I very much want to get rid of the Capitol Card at some point. Besides the $29 annual fee, and the secured deposit they have squirreled away, I can truly envision being 70 years old, calling their automated RoboAnswerBot hologram line, and being told that no, they can't raise my credit right now, but they do periodic reviews and may raise it in the future.
So my questions are:
1.Should I get rid of it now, or later? It is my oldest card, but that is only about 8 months.
2.How much of a credit score drop can I except if I close it? And how long would it take to recover that score drop?
3. Which would be more damaging to my score - to close it now, or to wait a year or 2 and close it then? Or, are they equal evils?
My only reasons for keeping it open would be to have 2 credit card open so that in the future, it would be easier to apply for cards that seem to require that (Amex Blue Cash, etc.). I don't like it, but can pay the $29 annual fee for a year or two if it helps me build my credit.
I really appreciate any info you guys have on closing accounts at this stage in the game!