To keep / Close Or?

smittenbee

My credit file is slowly improving. I did a DRO in 2015.


I had three credit cards, Capital One (£700) Capital One 2 (£750) both 34% APR and Tesco Bank (£1200) with 39% APR.


I ran up some debt, ending up paying some interest on all three, but didn't default or make a late payment (thankfully!)


I decided I am better without all these cards. My initial plan was to close both Capital One cards and keep Tesco with the higher limit, but also higher interest.


However Capital One offered to merge my two cards and combine the limit so I took this offer and now I have one Capital One card.


Both cards are clear, so do I close the Tesco Bank with the higher interest or not. The problem I have is I am at risk of spending (Bipolar) I did this recently hence the interest but a relative bailed me out and paid them off, and I'm paying them back interest free!


Or do I chop up the Tesco Card, keep the account open and forget I have it... :eek: I am trying to think ahead for the future!

[Deleted User]

You have a dilemma.

For a good credit history, you'd keep both (at least) and use them.

But if you are at risk of abusing them, you may need to close them. Only you can decide.

[Deleted User]

Close them if you think you’ll run up debt on them and not be able to repay it.

PixelPound

do you have a small subscription or similar that could be paid by CC? Use that, set up a DD then cut up the card. The subscription will keep the card been used and cutting up means you can't use them without ordering new cards, so an extra step in the way of running up debt.

However since you feel that you are still at risk of running credit up, then get rid of them - don't worry about credit file, more important to stay on top of debts than worrying about some artificial score.