Closing a credit card account impairs a credit report said Experia

Cheers

I asked them if I cancelled one of my cards with a zero balance it would improve my score, they answered no it might look bad showing I dont need credit!
Yet the general concensus is needing credit looks bad.

Thrugelmir

Any material change to your credit file will have an impact. Account closure will initially be scored by the CRA's as negative. Over time this will self correct.

Lenders will take a different view and score you themselves according to their own criteria.

There's no harm in doing housekeeping and closing redundant credit facilities. Longer term the impact will most certainly be beneficial.

Cheers

Can you say why paying off and closing a credit account would lower that persons credit worthiness?

solentsusie

Cheers wrote: »

Can you say why paying off and closing a credit account would lower that persons credit worthiness?

It doesn't. But the CRA's will lower you 'scores'. The scores themselves have no meaning when applying for credit as each lender will assess you on their own criteria.

If you have shown that you can handle credit responsibly and have no missed payments this is a positive on your file.

Good luck.

phona

Don't spend your time and energy worrying about what effect things might have on your credit report. The recipe for good credit is simple: pay your bills on time, don't get into crazy debt, show you can borrow and repay.

If your card is now useless to you, close it. If it still has a use (perhaps emergencies, cashback, or a future BT offer) keep it. Experian's opinion is worthless.

shortcrust

OP - You're asking the same question over and over in different ways and people are giving you the same answers over and over in different ways. Phona's post above really does tell you everything you need to know and do.