Closing a CC account to stay on existing terms?

So annoyed today! :mad:
Had a letter from Halifax saying they were putting up their intrest rate on their credit card
Halifax.....Was 16.94% Now 21.9% up 4.96%:mad:
this is about 34p per month extra interest per £100- and with my balances that's about an extra £10 per month

However, there was a little bit on the bottom of the letter saying that you have a right to close the account and to keep paying it off at the current rate but not be allowed to use the card for purchases etc. and won't be able to re-open the account.

In theory this is fine as I do not want to have this card any more and just want to get it paid off ASAP

My question is: Does anyone know if doing this impacts negatively on your credit rating/score and on how companies view your application for new cards (I would like to apply for 0% card in a month or two when I am sure my credit rating is a little more stable than it has been previously!)

Thanks is advance :D


  • cifpower
    cifpower Posts: 6,502 Forumite
    No it will not impace your report negatively. When paid off the card will be marked as settled on your file.
  • laura2481
    laura2481 Posts: 4,305 Forumite
    Combo Breaker First Post
    Thanks- wasn't sure if it would somehow show up as a 'frozen' account or something that other companies would look negatively on.
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