|
|
|
|
Home / Finance / Credit
Will closing paid off credit card accounts improve my credit score?
By:Myra Golden
In “Your Credit Score”, Liz Pulliam Weston explains:
1. Closing accounts can make your credit history look younger than it is. Your credit score factors in the age of your oldest account and the average age of all your accounts. So closing accounts, particularly older accounts can ding your score.
2 . Closing accounts reduces the total credit available to you, making your debt utilization ratio soar. Remember that the FICO formula measures the gap between the credit you use and your total credit limits. The wider the gap, the better. If you suddenly lower that limit by shutting down accounts, the gap narrows – and that’s a bad thing.
Article Source: http://www.dailynewarticles.com
Myra Golden runs a credit score reapir agency, a complete resource for improving your credit score. For credit score repair help, including tips for understanding your credit score, disputing items, dealing with collection agencies, getting credit card interest rates reduced, ways to legally improve your credit score and much, much more, visit:
www.creditscorerepair.us
More Articles from Credit Category:
Bank Safely And Securely
Basic Tips For Getting Out Of Debt
How To Make A Well-Balanced Investment Portfolio
Credit Card Late Fees - How to Avoid Them
Life Insurance - How Much Do I Need?
Why Use Low Interest Rate Credit Cards?
How To Use Your Credit Card To Really Save You Some Money
Accounting Made Easy with Small Business Credit Cards
A Second Chance: Credit Unions
The Citi Hilton HHonors Visa Signature Credit Card - Pros and Cons
Busting the Myths of Your Credit Score
Stopping The Scary Phone Calls
Guidelines to Choose the Right Airlines Credit Card
Balance Transfers Primer
The Elvis Prepaid MasterCard Card - A Card From The King!
|
|
