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Never cancel a credit card

Submitted by Umbra

Never cancel a credit card, it will go against your credit score. If you no longer wish to use it, simply cut it up. Your account will stay open until expiration and the company will slowly stop sending invites. :)

Visitors comments

Never cancel a credit card???????????? Comments By: JC on 2005-07-06

I believe it's a bad idea to NOT cancel credit cards you no longer use because if you have too many credit cards not only are you at higher risk for fraud but you have too much exposure and may not get credit you really need because you already have too high credit limit when all your card limits are added together.

Potential Debt Comments By: ShiXin on 2005-07-06

This tip is not accurate. Depending on your amount of credit, and your credit/Debt ratio, having too many credit accounts open can actually harm your credit, because they are looked upon as "potential debt." Some creditors will not give you the credit amount that you need until you close some of your existing accounts.

Quite the opposite Comments By: patriciab on 2010-01-26

Having open credit accounts it's likely to make more damage to your credit score, as they are seen as available credit even if you are not using them. And once you have a credit card agreement the bank will keep sending new cards when old cards expire so if you move address and don't update your details the new cards might end up in the hand of fraudsters. Overall a rubbish tip.