Closing A Credit Card: When It Makes Financial Sense | NerdWallet

Ready to cancel a credit card? Before you do that, make sure you understand when the right and wrong time to close a credit card is. Sally French breaks down when you should close a credit card, for instance having high annual fees, to when you should keep a credit card, like when it negatively impacts your credit score cause of credit utilization and length of credit history.

Suggested Articles:

#NerdWallet #CreditScore #CreditCardCancellation

About NerdWallet:
We’re NerdWallet. And we’re not your typical finance company. We believe that everyone should be able to make financial decisions with confidence. We’ve built a team of Nerds with the knowledge, passion, and skills to make that happen. Thanks to our Nerdy experts, see side-by-side comparisons and objective reviews of the best credit cards, bank accounts, and so much more — so you can get even more financial clarity. It’s the smartest decision for all your financial decisions.

Disclaimer: This video is for informational and educational purposes only. NerdWallet does not offer advisory or brokerage services, nor does it recommend or advise investors to buy or sell particular stocks or securities. Any comments posted under NerdWallet's official account videos are not reviewed or endorsed by NerdWallet or representatives of financial institutions affiliated with the reviewed products unless explicitly stated otherwise. Avoid disclosing personal or sensitive information such as bank accounts or phone numbers. NerdWallet employees do not offer personalized financial advice and will not respond to posts here.

Connect with NerdWallet:

Closing A Credit Card: When It Makes Financial Sense | NerdWallet

[bryanduhaney]

Sally is the best at explaining the pros and cons of credit cards. I always find hidden gems when listening to her content. Can’t wait until the next video.

[louiswilliams]

Thank you ! Working on seeing if the retention plan will work!

[bcabello]

But do you still have to use your credit card if you don't want to? I heard that the bank could close your account for inactivity and that is probably bad right?

[User-dhxj]

If I am an authorized user on a card / account that is about 25 years old and something happens to the primary account holder as they get older, what impacts would it have to my credit score and credit report if the credit card account / the account gets closed?

[chrissan]

I have had a credit card open for six years but has $100 annual fee. How will that affect my credit score when I cancel it current utilization on all cards is 0%

[greatgerbil]

Why do her sentences end on a higher tone?

[southerncomfort]

It's a speech condition ppl need therapy to manage. Not a disability but it's a condition that doesn't prohibit her function.