Thread: Want to.. cancel CC and open a new one. which do i do first?

Here is my situation:

I am 26. I have only 1 credit card that I opened in 2001 (the oldest active thing on my credit report) that was one of those student $500 cards that now is up to a $17,500 credit limit.

I never keep a balance and always pay it off every month. I never thought about changing credit cards because I heard that its good to show a long credit history on your report.

But heres the thing.. the interest rate is super high, no rewards, and they are implementing new rules that in 2010 I will get an annual fee. Normally I don't care about the interest rate because I never carry a balance, but I am tired of them and their b.s. ways.

Question:
I want to open a new card to earn points and etc. I don't know if I should apply for a card and then cancel my first CC. Or cancel my CC first and then go looking for a card.

Apply first then cancel.