credit card: to cancel or not cancel

1krazykitty

I just paid off a credit card, I was carrying a small balance because this bank told my dad if he does X number of months without using it, their will be a charge or they will cancel him (something alone those lines). The limit is $500 and I have a $30 annual fee. how much will it effect my score by canceling? Dh says to keep it, but I's rather not pay the annual fee, and we have other cards for emergencies high high limits.

Mrs.BoomBoom

$30 annual fee?  I'd cancel!  Unless you're planning to make a big purchase like a car or house in the immediate future the hit to your credit report will only be temporary.

1krazykitty

Mrs.BoomBoom:

$30 annual fee?  I'd cancel!  Unless you're planning to make a big purchase like a car or house in the immediate future the hit to your credit report will only be temporary.

IF we buy a car, it probably wont be until march or later of next year. Does it matter that this was my first credit card, opened in 2005? 

Mrs.BoomBoom

When were your others opened?

When do you owe your annual fee again?

1krazykitty

Mrs.BoomBoom:

When were your others opened?

When do you owe your annual fee again?

 maybe 2006/2007? I also opened my victorias secret in 2005 which I wont close since there isnt a fee. I have good credit (don't know the exact scores). I think my next fee is in may? I'd have to check that

Mrs.BoomBoom

I'd hold onto the card until just before the annual fee becomes due and buy the car before then.  I don't think your score will take that big of a hit but since the formulas for those scores are so secret it's hard to tell and you'd want it to be as good as possible before that big purchase.  It's not like you have no history other than that though...kwim?

kouiii

I'd also suggest to buy the car before closing the card.

Passanie

And then get a better credit card. You definitely want more than just the VS card because I think places look at that as a different form of credit. Get one that's not a store credit card.

Mrs.BoomBoom

Passanie:

And then get a better credit card. You definitely want more than just the VS card because I think places look at that as a different form of credit. Get one that's not a store credit card.

I think she said she has other cards for emergencies with high limits...but she should make sure they're in her name and that they're not all in DH's name. 

1krazykitty

Mrs.BoomBoom:

Passanie:

And then get a better credit card. You definitely want more than just the VS card because I think places look at that as a different form of credit. Get one that's not a store credit card.

I think she said she has other cards for emergencies with high limits...but she should make sure they're in her name and that they're not all in DH's name. 

 

they are all in my name, I got them before we were married. we don't have credit cards together but we are authorized users on a couple of eachothers.