Store card - get rid of or keep?

Graham1982

Hello everyone:

I am a bit of a novice in this area but I have some understanding.

I wrote a post previously (about a year ago) about addressing my financial situation - I had a student overdraft that I had for decades, a high interest loan, a large credit card balance and a store card from Argos with a buy now pay balance in full thing due in December of 2019.

I have now got rid of the overdraft and high interest loan (all settled) and therefore the only thing that remains is my credit card and this store card.

I am looking to remove the balance on the store card/settle the agreement tomorrow. My question is:

Due to credit utilization scores, should I keep the card on a zero balance and just not use it so that I have "available credit" that I am not using?

I hasten to add that I have dropped my credit card from 7 to 5.5k and the store card only has £250 on it and the limit is £350 so this couple of hundred pounds might seem negligible but my next step is to get a balance transfer deal and so I want to look as good as possible for future lenders.

Thanks

Graham

[Deleted User]

Clear the balances, keep the limits.

Accept any limit increases you get offered.

[Deleted User]

Don't reduce any limits.

Ignore any references to "scores" and "ratings".

Ben8282

Agree with the above replies. Keep cards. Do not reduce limits. Do not use cards unless you are able to repay in full when the statement is issued.