How much will closing a credit card account affect my credit rating?
Question by fdnl13: How much will shutting a recognition paper relationship feeling my recognition valuation?
Despite a flawless payment history over the finis 20 years, Citibank is elevation my rate by 5%. I would easily give them the heave-ho, but I’ve heard that a long-rating recognition card account has a positive effect on your credit rating. How big a hit would my impute rating take if I closed the Citibank relationship?
Best response:
Answer by Chanteuse_ar
Your entire recognition history with that card would be erased and this is not a good thing.First, those 20 years should give you some power with Citibank. Call their customer service number on the back of the card and state them that you feel the gain is unjust in light of the fact that you’ve been doing business with them for 20 years and your being is in good rating. Mention that you’ve always paid your bill on time if that’s the cause and any other Citibank accounts you have, if you have any. Sometimes the recognition part of banks doesn’t realize that you’re also a bank customer and that whitethorn packing some weight.If you can’t return anywhere with the customer serve rep, ask to speak to a manager.If this still gets you no where, go to bankrate.com and seat what other credit cards’ interest rates are to unbar an account and tell them such and such bank is offering this depression rate to newly customers, and it hardly seems joining that they’re raising the charge for their longstanding client. (I’ll wagering Citibank themselves are offering low rate to their new customers, while they’re nerve-wracking to squeeze their yore client for money).If all else fails, pay the card off even if you have to transfer the tension to a lower interest paper. Then, so they gentleman’t close the relationship entirely as some banks are doing on inactive cards, use the card once or twice a month for smaller purchase or necessities like groceries and pay off that balance at the extremity of the month.They’re less likely to shut down the account if you have some activity on it and they’ll probably drop the interest charge after a few months to get you to spend solon on their paper.
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