Is an unused credit card bad credit?

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Naomim
Naomim Posts: 3,117 Forumite
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in Credit cards
I've popped over from the DFW board. I owe a lot on credit cards and have no 0% deals on offer and just meeting minimum payments.

I have one credit card with a £5k limit and nothing owing on it at all. No offers on the account (I checked). I don't have the physical card as it was only for a balance transfer in the first place. Should I close this account or is it better to have "credit" available even if it's not being used?

Thanks

Naomim
Credit Cards NOV 2019 £33,220.42 Sept 2023 £19,951.00 Tilly Tidy 20223/COLOR] Sept £43.71 Here's my diary: A Ditherer's Diary Again

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  • Ben8282
    Ben8282 Posts: 4,821 Forumite
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    I don't know of any balance transfer credit card providers who don't issue a physical card so if you don't have the card it is because YOU cut it up or lost it or whatever.
    Keep the account open as the existance of the unused credit is beneficial. If you had not cut the card up you would be able to use it for your day to day purchases and gain the 56 days interest free credit by repaying in full each month and also a credit card used and repaid in full each month would look good on your credit files.
  • Naomim
    Naomim Posts: 3,117 Forumite
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    It's an M&S account. I cut the card up so I wasnt tempted to spend on it.
    Unfortunately with my level of debt, I can't trust myself to spend on it and pay it all off. :o
    Credit Cards NOV 2019 £33,220.42 Sept 2023 £19,951.00 Tilly Tidy 20223/COLOR] Sept £43.71 Here's my diary: A Ditherer's Diary Again
  • Ben8282
    Ben8282 Posts: 4,821 Forumite
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    Naomim wrote: »
    It's an M&S account. I cut the card up so I wasnt tempted to spend on it.
    Unfortunately with my level of debt, I can't trust myself to spend on it and pay it all off. :o
    Oh. I see. But don't close it though.
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