Hi /biz/, first-time credit card user here. I was just wondering,

The best credit score to have is ZERO. Debit card all the way. Pay for what you want with what you HAVE.

>>1148796
Why close it? Just dont charge anything else on it. When you close accounts that shortens your total positive credit payment history and also lowers your credit limit. This has a negative impact on your score.

>>1148803
Dont listen to this. A good credit score is beneficial not just to get loans and credit cards but some employers and most landlords will check your credit score as part of a background check. Even if you never want to mortgage a home, good luck ever renting an apartment/house on your own without some type of credit history.

>>1148796
You've got it backwards, the more credit cards the better. Just make sure to use it once a year to keep it active.

>>1148803
This guy is a total fucking retard.

>>1148803
I bet you also think the Fed is evil, fiat money is inherently worthless, and that all economic decisions are made rationally

>>1148811
I was wondering how this worked. Do credit cards charge you or impact you negatively if they're inactive for too long?

>>1148831
No they wont. Like the other anon posted they will close it due to inactivity however. The best way to keep it open is to periodically make small purchases on them then pay it off in full.

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>>1148796

This affects multiple pieces of the credit report.

History (7 years max score)
payment history (24 most recent payments)
balances (1% on 1 card)
possibly account mix (at least 1 charge card, Credit card, installment loan)
Inquiries (0 is best, but you usually you'll dump a card after an application spree if they're not in the same league as your other cards, usually they'll up your limits to compete but sometimes they do not)

here's a quick checklist.
Do you have another card older than 7 years?
Do you have another card w/ 2 years complete payments?
Is this your only active card?
Once you've applied for newer better cards, have you called them up and asked them to improve your credit offering and they refused?
Are you not applying for financing in 2 years?

if the answer is NO to any of these, it will damage you to close the account.

You're both wrong. No cards means no credit history, which frightens lenders. Too many cards makes you look like a flight risk (charge them all up tomorrow), which frightens lenders.

Ideally, you should only have a few. One that you use regularly, one if that is stolen/unreadable, and one for emergencies.

>>1149820
>Too many cards makes you look like a flight risk (charge them all up tomorrow)

I disagree with this. I have a pretty decent score and have about 15 credit cards available (bank and store cards). They key is used credit vs. available credit. If you have $50,000 available across all your credit cards and only have $1,000 outstanding in debt on those cards, you're considered a good credit as opposed to having a $5K limit and $4,500 balance, even if you are paying on time.

So keep cards open, charge once a year and pay it off immediately. Use debit/cash for everything else. Watch for cards that charge annual fees. They may only be $40-60 but they add up.

Here's what you do OP. You go back to the bank, you close all of your lines of credit. Then, the next time you think about getting a credit card, you ask your friends to beat the living fuck out of you, you dumb motherfucker. Why the fuck do you need credit cards? How dumb are you?

I don't see reason behind closing a credit card if it does not have an annual fee. Put a Netflix subscription on the card and have it automatically take the money out of your bank account each cycle. Closing down a line of credit can decrease your credit score because it will negatively impact your average age of open credit balances. If your card has an annual fee I would recommend calling the company and asking them to waive the fee because if not you may consider closing your account with them.

>>1148796
>penalty for closing down credit cards

credit score goes down.

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>>1148803

found the kid that listened to his parents too much XD