Comments on: Closing One More Credit Card http://www.thesunsfinancialdiary.com/personal-finance/closing-one-more-credit-card/ Fri, 20 Nov 2009 19:09:54 -0800 http://wordpress.org/?v=2.8.6 hourly 1 By: Should We Pay off Our Car Loan? | The Sun’s Financial Diary | A Personal Finance Blog on Saving and Investing http://www.thesunsfinancialdiary.com/personal-finance/closing-one-more-credit-card/comment-page-1/#comment-30795 Should We Pay off Our Car Loan? | The Sun’s Financial Diary | A Personal Finance Blog on Saving and Investing Thu, 13 Dec 2007 19:47:50 +0000 http://www.thesunsfinancialdiary.com/personal-finance/credit-cards/closing-one-more-credit-card/#comment-30795 [...] just closed an account early this week. Now it looks like I am about to get another [...] [...] just closed an account early this week. Now it looks like I am about to get another [...]

]]> By: Josh http://www.thesunsfinancialdiary.com/personal-finance/closing-one-more-credit-card/comment-page-1/#comment-30638 Josh Tue, 11 Dec 2007 14:32:59 +0000 http://www.thesunsfinancialdiary.com/personal-finance/credit-cards/closing-one-more-credit-card/#comment-30638 You're absolutely correct that length of credit history affects your credit score (by about 15%). However, I have previously read that closing an account will not affect your history. Yes, the account is closed; it does remain on your credit report, however, and it demonstrates that you have had credit since the date on which that particular account was opened. It's really the average age of accounts that matters most. So, if you have one account opened for a long period of time and subsequently open several new accounts, your score will decrease due to the young average age of accounts. Credit scoring agencies are relatively secretive in their methodology, but I would love if you would include a primary source to support the widely-held assumption that closing an old account hurts your credit score, because of age alone. Thanks! I enjoy reading and have found many helpful posts here. You’re absolutely correct that length of credit history affects your credit score (by about 15%). However, I have previously read that closing an account will not affect your history. Yes, the account is closed; it does remain on your credit report, however, and it demonstrates that you have had credit since the date on which that particular account was opened.

It’s really the average age of accounts that matters most. So, if you have one account opened for a long period of time and subsequently open several new accounts, your score will decrease due to the young average age of accounts.

Credit scoring agencies are relatively secretive in their methodology, but I would love if you would include a primary source to support the widely-held assumption that closing an old account hurts your credit score, because of age alone.

Thanks! I enjoy reading and have found many helpful posts here.

]]> By: Chinese Texan http://www.thesunsfinancialdiary.com/personal-finance/closing-one-more-credit-card/comment-page-1/#comment-30598 Chinese Texan Tue, 11 Dec 2007 03:58:49 +0000 http://www.thesunsfinancialdiary.com/personal-finance/credit-cards/closing-one-more-credit-card/#comment-30598 �喜!

Congrads! Your site is among the top 25 financial blogs sites.

http://www.yourcreditadvisor.com/blog/2007/09/25_most_influen.html

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