Do you cancel old credit cards?

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28fe6
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Do you cancel old credit cards?

Post by 28fe6 » Sat Jun 16, 2018 9:19 pm

For those of you who routinely open new cards to get bonuses, do you close them once you are done with them? I recently closed 2 BOA cards because I just didn't like BOA's website or customer service at all, if for no other reason. But they did tell me that my available credit would go down by $22k and that could actually make my credit worse. On the other hand my average age of accounts might go up a tiny bit.

If you never cancel cards I have to imagine after some years you would have dozens and dozens of credit cards and that could be hard to manage.

TravelGeek
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Re: Do you cancel old credit cards?

Post by TravelGeek » Sat Jun 16, 2018 9:24 pm

I decommission cards that serve no purpose in my “fleet”.

I have several active duty cards in my wallet, several active reserve cards in my travel wallet (mostly hotel cards that I use at certain hotel brands) and a few mothballed cards that I virtually never use, but that either have no AF or provide a benefit that justifies the AF.

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Alexa9
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Re: Do you cancel old credit cards?

Post by Alexa9 » Sat Jun 16, 2018 9:25 pm

I'm done with the credit card game for now. Had over 20 in the last 10 years now down to 1. Mostly because I don't travel much anymore.

Mike Scott
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Re: Do you cancel old credit cards?

Post by Mike Scott » Sat Jun 16, 2018 9:47 pm

I keep most of the ones which do not have an annual fee. I will cancel any that annoy me enough to go to the bother of canceling. I use the ones I want to keep active at least once a year. I have only ever had one card closed for lack of use. I don't keep cards with an annual fee unless it earns back more than the cost of the fee. I keep about 5 cards in regular rotation depending on bonus quarters etc looking for a minimum 5% cash/point return. I usually have a new "bonus" card to work on as well and the fallback is a 2% cash back card. It's simple enough to keep them in a filing system with everything else. It takes a bit of organizing and awareness but it's worth about $5,000 per year without any manufactured spending.

NoHeat
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Re: Do you cancel old credit cards?

Post by NoHeat » Sun Jun 17, 2018 12:09 am

I keep my oldest no-fee card, because its 25+ year age helps my credit rating.

TravelforFun
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Re: Do you cancel old credit cards?

Post by TravelforFun » Sun Jun 17, 2018 12:51 am

I apply for credit cards to get the bonus miles and cancel them before renewal. I probably apply for 4 or 5 cards every year.

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Re: Do you cancel old credit cards?

Post by JBTX » Sun Jun 17, 2018 1:06 am

I keep them unless there is an annual fee, then I will see if it can be waived or maybe downgraded or else I will cancel. Eventually if there are some new ones that otherwise have no fee I may consider closing a few selectively. I absolutely won't close any no fee card approaching 10 years old or more. For the oldest 15+ year ones I keep small recurring charges on them to keep them active.

I'm new to this upfront bonus game (for about a year) really only focusing on bonuses $500 or higher. Mainly just cash bonus cards. I probably got about $2700 in the first 6-7 months, should have another $500 coming soon and just applied for an $800 bonus card (plus another $800 in bank account bonuses). Before too long I will likely have gone through the easy pickings. I don't plan to "churn" the same cards over and over again.

I am probably up to 20 or so cards now. I track them on quicken and set them on autopay. It's a minor hassle but not a big deal. For $2000-$3000 per year in up front bonuses for me it is worth playing.

As to a average age of accounts, keep in mind that closed accounts stay on record for quite a few years after closing. So closing new ones probably won't help you right away in terms of average age.

student
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Re: Do you cancel old credit cards?

Post by student » Sun Jun 17, 2018 5:11 am

I generally keep them especially if they have a long history.

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Re: Do you cancel old credit cards?

Post by UpperNwGuy » Sun Jun 17, 2018 5:54 am

About a year ago I closed all 5 of my store/gas cards and 4 of my general purpose cards, going from 15 open accounts to 6. Since then I have added one card. My plan is to drop from 7 to 5 cards soon.
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Re: Do you cancel old credit cards?

Post by Jack FFR1846 » Sun Jun 17, 2018 6:15 am

When I discovered churning and low balance forgiveness, I stopped cancelling cards. I probably have 25 cards. I open on average one new card a month for the sign on bonus. My FICO is right around 800.
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Re: Do you cancel old credit cards?

Post by MikeG62 » Sun Jun 17, 2018 9:00 am

TravelforFun wrote:
Sun Jun 17, 2018 12:51 am
I apply for credit cards to get the bonus miles and cancel them before renewal. I probably apply for 4 or 5 cards every year.
This has gotten much more difficult ever since Chase implemented the 5/24 rule. :(

As to the OP's question, personally I don't cancel existing cards unless there is an annual fee associated with them that I don't feel is more than offset by the benefits provided by the card. I have many cards in a credit card wallet in my desk drawer that are not used very often. However, to the extent there is no annual fee I don't see the need to go ahead and cancel them.

And since all of my non-retail store CC's are set to auto pay, I don't find maintaining a lot of cards to be difficult or time consuming. The retail (store branded) cards are used infrequently at best.
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28fe6
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Re: Do you cancel old credit cards?

Post by 28fe6 » Sun Jun 17, 2018 9:24 am

It takes a bit of organizing and awareness but it's worth about $5,000 per year without any manufactured spending.
How much of that $5000 is in the form of airline miles and hotel points?

I want to maximize my rewards but I just don't spend that much money. My whole monthly budget is a couple thousand dollars and most of it (mortgage) cannot be paid with a credit card without fees. So I'm currently in the tier where I only apply for cards that have maybe 1000/3months spending requirement or so, and reward in cash equivalents. The big-hammer travel cards with 50,000+ miles always require 3000/3mo or something, have an annual fee, and I just don't fly that much in order to ensure I will be able to monetize airline points without them expiring.

I just got a pre-approval offer for a capital one card for 20,000 miles with no annual fee. I almost bit but it's honestly challenging for me to meet a spending requirement without ending up manufacturing spending.

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Re: Do you cancel old credit cards?

Post by Mike Scott » Sun Jun 17, 2018 9:53 am

Almost every penny I spend except the mortgage goes on a card. I time new cards to coincide with insurance, taxes, travel, remodeling projects, holidays with gifts etc. Sign up bonuses usually work out to around 10-15% return which will also cover some fees for card use. I prefer cash but I'm also trying to accumulate points for a relatively expensive trip in the next two or three years. I also buy discounted gift cards for places I regularly shop. For example, I recently bought Lowes gift cards for 10% off (one of them at 50% off) and the purchase added to the spend in my current bonus category. My current summer remodeling and landscaping projects will be in the 10K range in addition to the materials I have been purchasing on sales for the past year. My wife helps as long as I take care of the details and keep her card rotation to no more than 3 clearly labeled cards at a time (typically gas/groceries/everything else categories). It takes less time to do it than it takes to type a post like this. I have seriously considered manufactured spending as a "side hustle" but I don't have the time or inclination to do it at a volume that makes it worthwhile.

pindevil
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Re: Do you cancel old credit cards?

Post by pindevil » Sun Jun 17, 2018 10:18 am

This has gotten much more difficult ever since Chase implemented the 5/24 rule. :(
If you have a business, try their business cards. I was denied on the personal cards but was accepted for their business. The business cards also have the benefit of not showing up on your credit report.

To answer the OPs question I cancel the cards.
Last edited by pindevil on Sun Jun 17, 2018 10:19 am, edited 1 time in total.

pindevil
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Re: Do you cancel old credit cards?

Post by pindevil » Sun Jun 17, 2018 10:18 am

Double post

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whodidntante
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Re: Do you cancel old credit cards?

Post by whodidntante » Sun Jun 17, 2018 10:35 am

I do not cancel cards unless I plan to churn the bonus. Even then, I'll product change to another card if that is a valid option. I'll spend a token amount on them now and then and allow a bill to be generated, so I don't trip their dormant account detection. I monitor all my cards for fraud. I have a ridiculous amount of available credit, having been in the game for a while. That brings up interesting possibilities for retirement plan B. :twisted:

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Re: Do you cancel old credit cards?

Post by scrabbler1 » Sun Jun 17, 2018 11:44 am

I had the CC issuer cancel 2 old cards for nonuse; hadn't use them for at least 10 years. That puts me down to 2. I increased the limit on my main one in mid-2015 in case some large expense arises (which nearly happened in late 2015). My old main card became my back-up card which I keep one small, automatic annual charge tied to it so the account stays open. If something happens to my primary card (lose it, it gets hacked, for example), I don't want to be totally cardless while I wait for the main one to get replaced. I don't even carry the back-up card with me at all times.

IngognitoUSA
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Re: Do you cancel old credit cards?

Post by IngognitoUSA » Sun Jun 17, 2018 11:53 am

I close them all the time. Simply because I use them extensively online and expect numbers to be compromised. Also, some of the bonus reset every 2 years since the last statement of the card, so closing helps reset the clock. My fico has always been above 800.

dknightd
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Re: Do you cancel old credit cards?

Post by dknightd » Sun Jun 17, 2018 11:55 am

I would never open an account that charged me a fee. so I see no need to cancel an old one.

TravelforFun
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Re: Do you cancel old credit cards?

Post by TravelforFun » Sun Jun 17, 2018 1:56 pm

dknightd wrote:
Sun Jun 17, 2018 11:55 am
I would never open an account that charged me a fee. so I see no need to cancel an old one.
If you fly frequently, you probably wouldn't mind paying a fee to get the 50,000 bonus miles and Priority Lounge Pass.

TravelforFun

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munemaker
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Re: Do you cancel old credit cards?

Post by munemaker » Sun Jun 17, 2018 2:00 pm

dknightd wrote:
Sun Jun 17, 2018 11:55 am
I would never open an account that charged me a fee. so I see no need to cancel an old one.
In most, but not all cases, the issuer waives the fee for the first year. Often these cards have the nice, fat bonuses of $400 to $500. What I like to do is scoop up the bonus and then close the account before the annual fee is charged. Have done this a number of times and it works fine.

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munemaker
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Re: Do you cancel old credit cards?

Post by munemaker » Sun Jun 17, 2018 2:08 pm

scrabbler1 wrote:
Sun Jun 17, 2018 11:44 am
I had the CC issuer cancel 2 old cards for nonuse; hadn't use them for at least 10 years. That puts me down to 2.
You are missing out on all the fun. DW and EACH have about a dozen credit cards. I think two of them are joint accounts so something like a dozen each. All except the store cards have come with (tax free) bonuses. We have closed a lot along the way too. In some cases, the issuer offers you a bonus to reissue a card you closed a year or two earlier! My credit score (on Credit Karma) is 820 and her's is 824.

Obviously we do cancel cards from time to time.

I usually carry about 3 cards with me.

2015
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Re: Do you cancel old credit cards?

Post by 2015 » Sun Jun 17, 2018 6:18 pm

Alas, I will be abandoning the cc churning game in the near future. Primary reason is opportunity cost but more importantly I want to make executing my estate as simple as possible. I don't want my executor chasing down credit cards to be closed.

Imiss the thrill of the bonus chase though. <sigh>

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FIREchief
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Re: Do you cancel old credit cards?

Post by FIREchief » Mon Jun 18, 2018 3:58 pm

2015 wrote:
Sun Jun 17, 2018 6:18 pm
Alas, I will be abandoning the cc churning game in the near future. Primary reason is opportunity cost but more importantly I want to make executing my estate as simple as possible. I don't want my executor chasing down credit cards to be closed.

Imiss the thrill of the bonus chase though. <sigh>
+1 on keeping it simple for heirs. I only plan to keep three accounts active for the long term. One hotel, one internet merchant and a 2% cash back card. Some historical accounts seem to stay on credit reports, even though they were cancelled years ago. I've been able to get most removed, but some just won't go away.
I am not a lawyer, accountant or financial advisor. Any advice or suggestions that I may provide shall be considered for entertainment purposes only.

TravelGeek
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Re: Do you cancel old credit cards?

Post by TravelGeek » Mon Jun 18, 2018 4:55 pm

FIREchief wrote:
Mon Jun 18, 2018 3:58 pm
2015 wrote:
Sun Jun 17, 2018 6:18 pm
Alas, I will be abandoning the cc churning game in the near future. Primary reason is opportunity cost but more importantly I want to make executing my estate as simple as possible. I don't want my executor chasing down credit cards to be closed.

Imiss the thrill of the bonus chase though. <sigh>
+1 on keeping it simple for heirs. I only plan to keep three accounts active for the long term.
I will likely reduce my fleet of cards over time to make it easier on myself to track all my accounts and avoid screwups.

But I don't know that it is a huge concern for heirs/executors as long as you provide them with a list of all accounts and bank phone numbers. I think all it takes is one call to each bank to cover every account with them.

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inittowinit
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Re: Do you cancel old credit cards?

Post by inittowinit » Mon Jun 18, 2018 5:06 pm

I keep most non-AF cards. I downgrade AF cards to non-AF versions when possible if I cannot justify the ongoing AF (i.e., I just got the card for the signup bonus). I retain some AF cards with high quality perks.

I currently have the following AF cards: Chase Southwest Premier (6k annual point bonus plus perks), Barclaycard World Arrival (no foreign transaction fees, flexible rewards), Chase Hyatt (free night each year worth annual fee), Citi Premier (just got it for the 2nd time to get the signup bonus). In addition I have about 15 non-AF cards for various reasons (one is my oldest account and "anchors" my credit score, Amazon card for 5% back, Discover & Chase Freedom for rotating 5% categories, a few co-branded store cards for discounts at Nordstrom, etc).

When not working toward a signup bonus I put daily spend on my Citi Doublecash or the Barclaycard.

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Cycle
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Re: Do you cancel old credit cards?

Post by Cycle » Mon Jun 18, 2018 5:25 pm

We still churn, mainly airline cards and 1 at a time since we spend less. Still locked out by 5x24. We kept chase Sapphire reserve, nice perks.

I cancel the cards as soon as I get the miles (if airline) or after I use the miles.

2015
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Re: Do you cancel old credit cards?

Post by 2015 » Mon Jun 18, 2018 6:16 pm

TravelGeek wrote:
Mon Jun 18, 2018 4:55 pm
FIREchief wrote:
Mon Jun 18, 2018 3:58 pm
2015 wrote:
Sun Jun 17, 2018 6:18 pm
Alas, I will be abandoning the cc churning game in the near future. Primary reason is opportunity cost but more importantly I want to make executing my estate as simple as possible. I don't want my executor chasing down credit cards to be closed.

Imiss the thrill of the bonus chase though. <sigh>
+1 on keeping it simple for heirs. I only plan to keep three accounts active for the long term.
I will likely reduce my fleet of cards over time to make it easier on myself to track all my accounts and avoid screwups.

But I don't know that it is a huge concern for heirs/executors as long as you provide them with a list of all accounts and bank phone numbers. I think all it takes is one call to each bank to cover every account with them.
Being an executor is not for the faint of heart. Soon serving as executor of an estate which has been completely simplified has inspired me to do the same for my own executor.

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Re: Do you cancel old credit cards?

Post by inbox788 » Mon Jun 18, 2018 6:31 pm

NoHeat wrote:
Sun Jun 17, 2018 12:09 am
I keep my oldest no-fee card, because its 25+ year age helps my credit rating.
I kept my oldest card for 10 years after not using it, but recently closed the account and so far (since around 6 months ago), no significant change in my credit score AFAIK. Don't plan on needing my credit score in the near future, and remaining cards that I do use seem to be long enough.

Felt good closing an unused account. Keeping things simple. Less loose ends. Makes signing up for that next bonus that much easier, but I'm not chasing rewards like I used to. Much higher threshold now.

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Re: Do you cancel old credit cards?

Post by TravelGeek » Mon Jun 18, 2018 10:50 pm

2015 wrote:
Mon Jun 18, 2018 6:16 pm

Being an executor is not for the faint of heart. Soon serving as executor of an estate which has been completely simplified has inspired me to do the same for my own executor.
Sure, and while I have no personal experience with that role, is it really materially harder to close 5 credit card accounts vs 2, especially if in both cases two banks are involved?

My expectation actually is that by the time it becomes relevant for me (my executor) the whole credit card world will have changed. Or I will not really be needing more than a couple of cards anymore.

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FIREchief
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Re: Do you cancel old credit cards?

Post by FIREchief » Mon Jun 18, 2018 11:16 pm

TravelGeek wrote:
Mon Jun 18, 2018 10:50 pm
2015 wrote:
Mon Jun 18, 2018 6:16 pm

Being an executor is not for the faint of heart. Soon serving as executor of an estate which has been completely simplified has inspired me to do the same for my own executor.
Sure, and while I have no personal experience with that role, is it really materially harder to close 5 credit card accounts vs 2, especially if in both cases two banks are involved?
It sounds like it would be 150% more difficult. This applies accross the spectrum of estate simplification. Every extra brokerage account, insurance policy, bank, credit card, annuity, paper savings bond, etc. is going to make your executor's life more complicated (and the settlement more expensive for your other heirs). Also, if you are correctly maintaining a summary listing of all current accounts for your executor's ultimate use; you're making your own life more complicated as long as you're upright and breathing.
I am not a lawyer, accountant or financial advisor. Any advice or suggestions that I may provide shall be considered for entertainment purposes only.

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Sandtrap
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Re: Do you cancel old credit cards?

Post by Sandtrap » Mon Jun 18, 2018 11:33 pm

I have gotten notices in the mail to inform me that certain credit card(s) will be cancelled due to disuse. They cancel on their own, eventually.
j

iamblessed
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Re: Do you cancel old credit cards?

Post by iamblessed » Mon Jun 18, 2018 11:43 pm

I close them because I love simple so much. Do I make the most money on credit cards no. Right now I have three and might go down to two even with it costing me about $35 a year in rewards. To me more cards equals more chances to make a mistake paying them. My score is around 800 so to take a hit of 10-12 points if ok and it will come back in a few months.

itsgot8
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Re: Do you cancel old credit cards?

Post by itsgot8 » Tue Jun 19, 2018 9:41 am

Yes, I cancel old credit cards once they have served their purpose. I only maintain a few simply because I have held them so long and want to keep that credit history.

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Re: Do you cancel old credit cards?

Post by cherijoh » Tue Jun 19, 2018 10:09 am

Mike Scott wrote:
Sun Jun 17, 2018 9:53 am
Almost every penny I spend except the mortgage goes on a card. I time new cards to coincide with insurance, taxes, travel, remodeling projects, holidays with gifts etc. Sign up bonuses usually work out to around 10-15% return which will also cover some fees for card use. I prefer cash but I'm also trying to accumulate points for a relatively expensive trip in the next two or three years. I also buy discounted gift cards for places I regularly shop. For example, I recently bought Lowes gift cards for 10% off (one of them at 50% off) and the purchase added to the spend in my current bonus category. My current summer remodeling and landscaping projects will be in the 10K range in addition to the materials I have been purchasing on sales for the past year. My wife helps as long as I take care of the details and keep her card rotation to no more than 3 clearly labeled cards at a time (typically gas/groceries/everything else categories). It takes less time to do it than it takes to type a post like this. I have seriously considered manufactured spending as a "side hustle" but I don't have the time or inclination to do it at a volume that makes it worthwhile.
50% off on a Lowe's gift card? I would worry that it was a fake or non-activated gift card. If you think it is too good to be true...

But I have bought gift cards I knew I would use in order to ensure that I hit a spending limit within the required time frame. I also got a card affiliated with AA (the predominant airline in my city) for the bonus and to keep my miles active. They also offered first checked bag free and early boarding which came in handy on a trip I later took. The card had an annual fee but it was waived the first year. I kept it a second year when they gave me a credit equal to the annual fee for a nominal spending amount.

2015
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Re: Do you cancel old credit cards?

Post by 2015 » Tue Jun 19, 2018 11:39 am

FIREchief wrote:
Mon Jun 18, 2018 11:16 pm
TravelGeek wrote:
Mon Jun 18, 2018 10:50 pm
2015 wrote:
Mon Jun 18, 2018 6:16 pm

Being an executor is not for the faint of heart. Soon serving as executor of an estate which has been completely simplified has inspired me to do the same for my own executor.
Sure, and while I have no personal experience with that role, is it really materially harder to close 5 credit card accounts vs 2, especially if in both cases two banks are involved?
It sounds like it would be 150% more difficult. This applies accross the spectrum of estate simplification. Every extra brokerage account, insurance policy, bank, credit card, annuity, paper savings bond, etc. is going to make your executor's life more complicated (and the settlement more expensive for your other heirs). Also, if you are correctly maintaining a summary listing of all current accounts for your executor's ultimate use; you're making your own life more complicated as long as you're upright and breathing.
Excellent response.
It's important to remember serving as executor is comprised of a whole series of tasks. As in any system of project management, it's not any single task (although it certainly can be!), it's the totality of tasks that takes its toll.

It's also important to remember that estate execution comes on the heels of just having gone through (depending on your relationship with the individual) the health decline, hospitalization, health care coordination, caregiving, death, etc. experience. There is just so much that can and does go wrong during this transition separate and apart and preliminary to executing an estate.

As with everything in life, it's imperative to use second-order thinking because virtually nothing is linear anymore. Every decision has secondary consequences and unintentional consequences that can be cumulative and that are beyond the action's initial cause and effect. Closing "just" two more credit cards exists in a complex system requiring constant adaptation with potentially serious consequences (e.g., caregiver health, financial, emotional, or other breakdown).

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Re: Do you cancel old credit cards?

Post by MnD » Tue Jun 19, 2018 12:42 pm

i cancel any financial account the minute I have no more use for it.
If your credit is so bad that you are paying more for credit and other things like insurance than the best rate otherwise, it's not because you are closing old unused credit cards. DW closed an unused credit card last quarter and her score went from 835 to 831. Who cares - there's no prize for highest credit score once you get at and above prime household credit score range.

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Re: Do you cancel old credit cards?

Post by Swarm Trap » Tue Jun 19, 2018 12:47 pm

Sandtrap wrote:
Mon Jun 18, 2018 11:33 pm
I have gotten notices in the mail to inform me that certain credit card(s) will be cancelled due to disuse. They cancel on their own, eventually.
j
Ditto

Charon
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Re: Do you cancel old credit cards?

Post by Charon » Tue Jun 19, 2018 1:11 pm

I concur with inbox788 and MnD. Keep things simple, and there's no prize for highest FICO score.

Until recently I had no debt other than credit cards, so having three open made sense. But now I have a mortgage, and the oldest card closed from inactivity, and... nothing earth shattering happened. Credit score didn't appreciably move, still over 800.

I did open one temporary card recently for a good reward, but my threshold is high for that. Every open card is a chance for fraud, and a hassle you'll have to deal with if ever robbed. And more important for day-to-day life, it's a mental burden. For some people it can be a fun hobby, like owning individual stocks, but I'm not one of those people.

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Re: Do you cancel old credit cards?

Post by rhornback » Thu Jun 21, 2018 9:47 am

I admit I have not read all the responses. But if it has not been suggested already, I wait for the annual fee and then usually ask if the credit line can be transferred to another card which I might have.

There are only a few credit card companies with the most generous benefits IMO are with Chase. So when I close a Chase card I just request the credit line is changed onto another Chase card I might own. If I do not have a card with that company I ask for the credit line to be converted into a non annual fee card. I do not recall either of these actions ever hitting my credit account.

I have an 844 credit score with Experian as reported from my discover card. Not sure how much good it does except for my ego and for showing it to my wife...

Right now I am using the Capital One Sparks card which pays 2% back. Ever since 5/24 it has not been as much fun.

TravelGeek
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Re: Do you cancel old credit cards?

Post by TravelGeek » Thu Jun 21, 2018 10:54 am

rhornback wrote:
Thu Jun 21, 2018 9:47 am
Ever since 5/24 it has not been as much fun.
I think the new Amex feature to review your previous history with them to determine eligibility may have a greater impact for many.

https://www.flyertalk.com/forum/america ... 8-a-3.html

Specifically, post #31 mentions "based on his spending patterns and past relationship with Amex” a new bonus would not be approved.

At least, though, they tell you before the final submission of the application.

testing321
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Re: Do you cancel old credit cards?

Post by testing321 » Thu Jun 21, 2018 12:25 pm

I wait for a revision in the terms to arrive in the mail and there is an 800 number to call to opt out which immediately cancels the card. They have a menu system so you don't have to speak to anyone.

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cheese_breath
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Re: Do you cancel old credit cards?

Post by cheese_breath » Thu Jun 21, 2018 2:05 pm

I cancel old credit cards I don't use anymore. I don't cancel old credit cards I still use. :wink:
The surest way to know the future is when it becomes the past.

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Re: Do you cancel old credit cards?

Post by rich126 » Thu Jun 21, 2018 2:31 pm

Definitely transfer the line of credit to another card. And if the card has an annual fee you can often move to a non-fee card. Personally I have a number of cards but I can understand people wanting to keep things simple but I would always want to have 5-6 of them spread over Visa, Mastercard and American Express. Having only 1 credit card or ATM card can haunt you when something goes wrong.

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FIREchief
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Re: Do you cancel old credit cards?

Post by FIREchief » Thu Jun 21, 2018 2:39 pm

rich126 wrote:
Thu Jun 21, 2018 2:31 pm
Definitely transfer the line of credit to another card. And if the card has an annual fee you can often move to a non-fee card. Personally I have a number of cards but I can understand people wanting to keep things simple but I would always want to have 5-6 of them spread over Visa, Mastercard and American Express. Having only 1 credit card or ATM card can haunt you when something goes wrong.
Five may be overkill for most, but I do agree about having more than one. One of my old accounts had this nasty habit of freezing my account when they suspected fraudulent use. It happened two or three times (there was never any unapproved usage of the card). Then they send you a new card with a new number, which takes a few days. I've pictured being on vacation and all of a sudden my credit card doesn't work anymore. :annoyed
I am not a lawyer, accountant or financial advisor. Any advice or suggestions that I may provide shall be considered for entertainment purposes only.

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archbish99
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Re: Do you cancel old credit cards?

Post by archbish99 » Thu Jun 21, 2018 4:09 pm

28fe6 wrote:
Sun Jun 17, 2018 9:24 am
I just got a pre-approval offer for a capital one card for 20,000 miles with no annual fee. I almost bit but it's honestly challenging for me to meet a spending requirement without ending up manufacturing spending.
There's manufactured spending and manufactured spending. For example, do you have enough slack in your budget to spend six months of your grocery budget over three months? If so, buy a gift card to your local grocery store during the three month bonus period, then use that to buy your groceries for the following three months. The same can be done for gas, restaurants where you eat regularly, etc.

Manufactured spending that you wouldn't otherwise spend isn't typically worthwhile, but there's an element of it I see as no different than trying to get your deductions in one tax year versus another.
I'm not a financial advisor, I just play one on the Internet.

TravelGeek
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Re: Do you cancel old credit cards?

Post by TravelGeek » Thu Jun 21, 2018 4:12 pm

FIREchief wrote:
Thu Jun 21, 2018 2:39 pm
I've pictured being on vacation and all of a sudden my credit card doesn't work anymore. :annoyed
I have had that scenario: on the way to the airport for a long weekend trip I get a text from Chase Security asking if I made a transaction at store XYZ in Brazil (I was in Washington State) with my IHG Club card. I respond "No" and get "Thank you" back. Then minutes later, same thing, different Brazilian store. After a few more I call Chase and tell them that I am not in Brazil. They cancel the card and promise to send a new one. Fortunately I had about four or five other cards in my two wallets, so it didn't really bother me. The compromised card was safely at home in my safe.

Colorado13
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Re: Do you cancel old credit cards?

Post by Colorado13 » Thu Jun 21, 2018 8:31 pm

I recently cancelled a Chase card that I opened a year ago in order to earn the sign up bonus. The annual fee was waived for the first year and I don't want to pay the annual fee this year. So Chase offered to transfer the credit limit from the cancelled card to my Chase Freedom card, so my total credit limit with Chase did not change.

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SurfCityBill
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Re: Do you cancel old credit cards?

Post by SurfCityBill » Wed Jun 27, 2018 1:14 pm

2015 wrote:
Sun Jun 17, 2018 6:18 pm
Alas, I will be abandoning the cc churning game in the near future. Primary reason is opportunity cost but more importantly I want to make executing my estate as simple as possible. I don't want my executor chasing down credit cards to be closed.

Imiss the thrill of the bonus chase though. <sigh>
I had to close about 5 cards my 95 yo father had. Stupid companies wouldn't let me because I wasn't on the account. Problem was my father was in no condition to do so himself. Amazing how well I can imitate a gravelly voiced cantankerous old guy on the phone. :twisted:

MrTimewise
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Re: Do you cancel old credit cards?

Post by MrTimewise » Wed Jun 27, 2018 3:07 pm

Amazing how well I can imitate a gravelly voiced cantankerous old guy on the phone. :twisted:
I had to do that as well. And other things which were made easier because I had the same name with a "III" appended.

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