Getting rid of my last bad credit credit cards

Simon7685

When I started turning my financial life round in 2011 I always said I would keep 1 bad credit credit card in my wallet, as a reminder of where I had to start and never intend to go back to.

All my cards are prime now except my Aqua card which I kept, it has a limit of £1925. I do not use it now at all except for once every 6 months to keep it active. It is simply there as a reminder to me.

What I want to know if someone can tell me is, can other lenders see that the card is a bad credit credit card on my credit file? So would it be liable to hold me back if you like if I applied for credit in the future and would it be better to just ditch it and not be sort of sentimental about it?

Thanks guys

grumbler

Simon7685 wrote: »

What I want to know if someone can tell me is, can other lenders see that the card is a bad credit credit card on my credit file?

No, they can't.

So would it be liable to hold me back if you like if I applied for credit in the future and would it be better to just ditch it and not be sort of sentimental about it?

This depends on other factors, but most likely will not make any noticeable difference.

Simon7685

Thanks Grumbler.

Kim_13

From the limit, lenders might be on the fence as to whether that was a bad credit card at all. Bad credit cards typically have limits in the hundreds and some prime lenders dish out limits like the one on your Aqua card.

How long have you had the Aqua card in comparison to the cards that you now use? The Aqua card will be increasing the average age of your accounts and that is no bad thing. While open, it's also reducing the percentage of available credit that you're using (although depending on your other limits and any overdrafts you might have, the effect might be very small indeed.)

If you ultimately wanted to close the account, could you not do so and hold onto the physical card for the sentiment? I'm not sure whether they would ask for the card to be returned if you closed it. If they did, do you have an expired card datewise for Aqua that would hold the same sentiment?

gingercordial

Kim_13 wrote: »

If you ultimately wanted to close the account, could you not do so and hold onto the physical card for the sentiment? I'm not sure whether they would ask for the card to be returned if you closed it. If they did, do you have an expired card datewise for Aqua that would hold the same sentiment?

I agree with this. I've never been asked to actually send a closed credit card down, though they've told me to destroy it.

Simon can just ring up and close the account (if he wants to, as I agree it won't be detrimental to his credit rating to keep it) then keep the physical card in his wallet for the reminder.

Personally I would do something like write "NOT VALID" in felt tip across the signature strip just in case my wallet got stolen, and/or scratch up the magnetic strip or chip, but I doubt that's even necessary.

tomxlisa

What cards do you have now and how long did it take you to get your first prime card, I am in a similar situation but have a very thin file with hardly any history.