Can credit card companies close your accounts without warning? How does it affect your credit score?
Q. I received a letter in the mail from Juniper (i Tunes Rewards) stating that they have closed my credit card account due to inactivity. I opened the account about 18 months ago and have never actually used it. Can they close my account just like that without any warning? How should I handle the situation? (Is there anything I can even do?) Also, I know that closing credit card accounts lowers your credit score. Does anyone know how much mine will be affected?
Asked by Sara - Tue Dec 23 21:34:21 2008 - Credit - 6 Answers - Comments

A. Canceling a credit card can ding your credit because part of your credit score is based on something called a debt-to-credit ratio. When you cancel a credit card, you lower the amount of credit available to you, making that ratio look bigger (and more risky) to creditors.. 15 percent Length of Credit History: "In general, a credit report containing a list of accounts opened for a long time will help your credit score. The score considers your oldest account and the average age of all accounts." 35 percent Payment History: "Having a long history making of payments on time and no missed payments on all credit accounts is one of the most important items lenders look for
Answered by Stealth - Tue Dec 23 21:55:55 2008

How to get a credit card with no credit and no checking account?
Q. I'm young with no credit and no checking account. I've been looking online and have only come across debit cards or credit cards that require a checking account. Where and how can I get a credit card w/ no credit and no checking account?
Asked by mommy's princess due 8.8.09! - Tue Dec 9 14:40:59 2008 - Personal Finance - 5 Answers - Comments

A. Actually most banks give you a credit card when you open a checking account. If you are 17 or older you can get a student checking account with a debit card. The reason they want a checking account is because statistics show that people that don't have checking accounts are more likely to default. If you are under 18, you can not get a credit card. /
Answered by Judy - Tue Dec 9 14:46:54 2008

How does credit utilization work for credit score?
Q. I've heard you should keep the credit ratio for each card at 20% or below. If I have $600 credit limit and I spent about $180 on the card, which is 30%, will this affect my credit score if I pay it off the next day? Do the credit bureaus count credit utilization as credit balance carried over for that period or whenever you use that much credit limit even if you pay it off asap without carrying a balance?
Asked by - Sat Apr 9 17:55:19 2011 - Credit - 3 Answers - Comments

A. If you carry balances on your credit cards of more than 30% of your limit (debt to limit ratio), you hurt your score. Pay off the balance and your score rebounds. If you pay your balance in full every month, this makes no difference. Utilization is not the same as the debt to limit ratio. Yes, utilization does impact your score. However, it REALLY is not worth the effort to figure out exactly when when the credit card will report to each of the three credit bureaus and then schedule charges and payments to get the perfect utilization rate for the best score. By the way, the perfect utilization rate is a lot more than 30%. You should also not make payments immediately after making the charge. Wait for the statement and then pay the balance… [cont.]
Answered by bdancer222 - Sat Apr 9 18:53:09 2011

What is the best credit card to establish credit?
Q. I am a student and I do not have any credit. What kind of credit card would be good for me to start building my credit up? I do not want anything that has a monthly fee, and it does not need to be a high credit limit because I will be buying something and paying it right off. Any suggestions?
Asked by - Wed Jun 2 19:24:52 2010 - Personal Finance - 2 Answers - Comments

A. You should go to your local credit union or bank. They will have the best interest rates. Also, credit unions are more lenient lenders so you will be more likely to get approved. If you cannot get approved for a regular card you can still get a secured card. This is just like a regular card, but you will have to have a savings account to use as collateral. This will build your credit by showing a payment history and after a year or more the bank will release the hold on your savings.
Answered by OhiosGirl - Wed Jun 2 19:27:50 2010

What is a good credit limit for a first credit card?
Q. I got my first credit card a couple years ago via Bank of America, and my current credit limit is $9000. Since I don't have any experience with credit cards in the past, I'm wondering if this is good or not? Is there anyway I can increase this limit? What do most credit card limits start at?
Asked by Michelle W - Sat Oct 4 04:41:57 2008 - Credit - 7 Answers - Comments

A. 9000 is a very good credit limit, definitely dont try to increase it because that puts an inquiry on your credit report which causes your FICO to lower. most people think the higher their limits the better their credit and this isnt true(it does effect it slightly but there are far greater ways to raise FICO). one thing to definitely keep in mind is that if you feel you will never need 9K limit; call and get it lowered, this doesnt hurt you at all and is a good idea to protect yourself from identity theft. people get these ridiculous credit limits and dont realize how appealing that is to ID theft. but to answer your question the best way to increase it without putting an inquiry on your credit report is simply to not use the card at all… [cont.]
Answered by sam19zzaz - Mon Oct 6 19:35:52 2008

How do you lower your credit limit without lowering your overall credit score?
Q. I have only have one revolving credit card, and I have a very high credit score. Because of this overall score they subsequently increase my credit line, even though I don't ask for or use this revolving line of credit. Question? I have been told if you ask for a credit line decrease they lower your overall credit score? Why? What can you do to minimize a lowered credit score?
Asked by Tim - Thu Dec 6 15:56:47 2007 - Credit - 11 Answers - 1 Comments

A. Your talking about your debt to credit ratio which makes up 30% of your overall score. If your balance is really low and your new credit limit reflects no more then 30% usage, your score will not be affected. If however your new limit makes your debt to credit ratio over 30% your score will take a hit. There is nothing wrong with having a high limit as a matter of fact it's good since it makes it hard to exceed 30%. It's not the credit you have that matters it's how you manage it that counts.
Answered by - Thu Dec 6 16:07:23 2007

Closing a credit card account that is inactive? How much will it affect my credit report?
Q. I've had this account for about two years, and I haven't used it in a long time, and I'm thinking of closing it but I don't know how it would affect my credit report. This is a secure credit card, with only a $300 limit. I have two other credit cards that I use a lot more often and I've been very responsible about paying bills on time.
Asked by jenahfah - Sat Feb 24 13:49:01 2007 - Credit - 4 Answers - Comments

A. If nothing else, use it for a small purchase at least once a year and pay it off. If you do not use an account for 12 months, they might close it on you anyway. What hurts your credit the most is abuse, failure to pay, or using more than 30% of your limits. If you have three cards and pay them off each month, then spread the debt out so that no one card exceeds 30% of its limit. Having a card even with only a $300 limit, is $300 worth of credit. As soon as you close it, your available credit drops by $300, which could hurt you. If any of your cards are charging annual fees, consider getting another card with a higher limit and no fees. After you get the boost of the extra credit limit, then close the card with the fees.
Answered by JD_in_FL - Sat Feb 24 13:58:11 2007

What types of credit is needed to get a high score?
Q. My credit score is about 615. I am working on improving my score so that I can qualify for a mortgage loan with low financing in about a year or so. I currently have an auto loan, and 3 revolving credit accounts. (All bank credit cards) Two of the revolving accounts are new, and the other almost a year old. My auto loan will be a year old in July of this year. Should I apply for more credit to get my score higher? If so what type of credit? What is a good mixture of credit to have to get a person's score higher? Any advice is appreciated. Thanks!
Asked by jade_blu_eyes - Sat May 6 11:28:57 2006 - Credit - 2 Answers - 2 Comments

A. Keep your payments up-to-date and you should be good. Don't get more credit. A score of 750+ is average for a good IR. Just keep showing the credit companies that you can be trusted to repay loans. Now is a good time to pull all three of your credit reports and analyze them. Correct any errors and make sure everything is correct.
Answered by Jenx880 - Sat May 6 11:33:28 2006

What credit cards are made so that you are instantly approved or denied?
Q. I preferably need a studen credit card (to build up my credit-seeing as how I do not have any line of credit). I just need to know which credit cards/student credit cards instantly approve/deny you or at least you find out some sort of answer within a few hours.
Asked by ersan b - Fri Jul 11 15:42:58 2008 - Credit - 11 Answers - 2 Comments

A. Actually most of the companies allow you to apply online instantly. But you have to find the right card that you can apply for. To do this, goto the following site and find the card you want in student section and apply online. This site only has cards that you can apply and get a decision instantly. Good luck!
Answered by KnowItAll - Fri Jul 11 15:51:18 2008

How to repair credit to purchase a home in the near future?
Q. I have read through a lot of the questions that have already been asked but I have yet to find exactly what I am looking for. I have been slowly but surely paying off some of the items on my credit report, all of which are delinquent by several years. My current credit score according to Experian's Triple Advantage is a 548, and I would really like to increase my credit score by atleast one hundred points so I can purchase my first home in the very near future. I recently contacted a realtor who pulled my credit report and showed my high end credit as 614, mid of 610, and low of 598. I don't quite understand why none of these numbers match what I am showing on my active Triple Advantage account, but I was told to wait atleast six more… [cont.]
Asked by Mr. Knowledge - Tue Sep 18 20:07:22 2007 - Credit - 3 Answers - Comments

A. The more negatives you pay off the better. You really need a 2 year consistent on time payment history. The reason the scores don't match is that you get the consumer version. I understand there's a mortgage version, and a car loan version. Also, are you sure Triple Advantage was giving you your FICO. It's the only score that counts. Another piece of advice, don't buy more house than you can really afford. Your house payment shouldn't be more than 25% of your monthly income. Waiting another 6 months may work out better as far as finding more house for a cheaper price.
Answered by bdancer222 - Tue Sep 18 20:17:42 2007

How would 4-credit courses transfer to a college where the courses are only 3 credits?
Q. If a 4-credit course has a corresponding course at a second college which is only 3 credits, how would the 4-credit course be transferred? Would one credit be dropped for each transferred 4-credit course?
Asked by Avz J - Tue Dec 29 16:10:39 2009 - Higher Education (University +) - 1 Answers - Comments

A. Are you on quarters or semesters? Where I go they check to see if the class you have taken is 70% compliant with the class the university offers... they then give you credit as if you have taken that class. So if I took a 3 credit class at a semester school and transfer then they would look to find a class they offer that matches the class I took and give me credit for that, which would be a 5 credit class on the quarter system, and vice verse. Bottom line they are gonna find what class they offer and give you credit for that if it matches the curriculum of that class. So it would vary school by school.
Answered by JB - Tue Dec 29 16:21:18 2009

What type of credit card can I apply for and get approved with current bad credit to start rebuilding?
Q. Im currently disputing a lot of derrogatory info on my credit reports from all 3 agencies. I currently have no major credit cards and was informed that if I opened a credit card account and made the payments on time that would up my credit score.
Asked by - Fri May 30 10:56:21 2008 - Credit - 6 Answers - 2 Comments

A. Secured credit card would be your best bet. This will report to all 3 bureaus as a credit card, and will get you back into good habits of spending money on plastic. An unsecured credit card in the hands of someone with bad credit trying to rebuild, isn't always the best thing. A secured credit card is issued by many major banks. I would recommend the Bank Of America Secured VISA. You can start with as little as $300 on it, and continue to deposit money to the card. This will build your credit immensely. After 6 months of responsible use with this card, you score will likely have improved, as well as your financial responsibility, and you can then look into getting a "starter" unsecured credit card.
Answered by Reality Check - Fri May 30 11:01:17 2008

How much credit history do I need to get a mobile phone on contract?
Q. Hi I am trying to get a mobile phone on contract. As I had no credit history I started paying with a credit card, repaying everything every month. I have been using my credit card for a couple of months now. Do I have enough credit history now or should I keep using my credit card? For how long? Thanks
Asked by Daisy S - Sat Apr 26 14:01:16 2008 - Mobile Phones & Plans - 2 Answers - 1 Comments

A. i didn't have a credit history when i go my first contract as long as your over 18 your fine. and don't go to anywhere house as they wont give you a credit scores go straight to the network shops. my first contract was with virgin which was really good but if i was you shop around you may have to pay a little but shop around I'm now on o2 on line which is PS20 a month which is good its the new simcity one :)
Answered by - Sat Apr 26 14:45:41 2008

What is the best credit card to apply for to rebuild credit?
Q. I have a pretty low credit score (597) and want to begin rebuilding my credit. The score is low from charge offs about 3 years ago. Is there a certain bank or credit card that is easier on people like me that will give me a credit card? And yes--I do plan on paying on time. It would be for small simple purchases that I would otherwise buy with cash and could pay off easily each month.
Asked by - Tue Jan 8 00:50:07 2008 - Credit - 6 Answers - Comments

A. Try HSBC credit cards. Specifically Orchard Bank credit cards specialize f/ people trying to rebuild credit history. Expect low credit limit though more than likely with any credit card company.
Answered by envy - Tue Jan 8 01:06:49 2008

How exactly does a credit card work?
Q. I want to apply for a credit card that starts out with a minimum credit line of $300. If I get it, it will be my first credit card. If I get the $300 credit, I want to make a purchase for like $200. Is this a good thing or a bad thing to do? Can someone give me some good tips on handling a credit card without getting bad credit? I will mostly be using this card trying to start an at-home business. Ya mama b*tch. Eat my p*ssy, h*e!!! Oh, rudecatt63, you've hurt my feelings ever so much, I'm going to cry...NOT. For someone who keeps visiting the GLBT section and has a rainbow in they're background, you sure do do a lot of gay bashing. Self hate is so stupid. But then again if I were you, I would probably hate myself too.
Asked by indrep33 - Tue Sep 5 19:18:10 2006 - Credit - 11 Answers - Comments

A. The best way is to keep the balence no more than 50% of the limit. If you go higher than the 50%, it will look like you have bad credit instead of no credit. If you pay the first balence off that month or pay half this payment and half the next, the bank will be very happy and raise your credit limit. You do not want to make only minimum payments. That will get in you into BIG trouble. They can raise the interest rate and it will cost you way more to borrow that money than you thought it would. If you have to because of money issues, make the payment that is due a min amount and then make another payment that month that is double the min. That will show good faith to the company. After about 6 months, you can call them and ask for the… [cont.]
Answered by Smartypants - Tue Sep 5 19:36:54 2006

What impact does closing credit cards have on your credit score?
Q. What impact does closing credit cards have on your credit score? I have a number of credits that I am not using. What impact if any would closing some of these accounts have on my credit score?
Asked by hydra1970 - Sun Aug 26 14:36:21 2007 - Credit - 5 Answers - 1 Comments

A. Part of your credit score is based on your debt to available credit limit ratio. When you close accounts, you lower the available credit and could end up with a higher debt percentage. So yes closing credit card accounts will hurt your credit score; however, your score will rebound quickly. Another factor is that closing your oldest accounts, closes your history. Keep the oldest accounts open as long as they don't charge an annual fee. Personally, I think keeping credit cards you don't use open just for the sake of a couple points on your credit score silly. All those extra cards have too much potential for problems. You have to keep track of them and keep them secured. I recommend not more than two major credit cards --which you pay in… [cont.]
Answered by bdancer222 - Sun Aug 26 15:51:01 2007

How many credit cards should you have to rebuild credit?
Q. I am trying to rebuild my credit after ID theft, a couple of problems that were mine and years of basically not having any credit reported. (I primarily use my debit card and pay cash for everything). I make good money now and am trying to rebuild in order to purchase a condo in the next couple of years. My good accounts (rental, club, cable, cell, etc.) have not reported my good credit. So how many cards should I take out that will help boost my credit score but not hinder my credit. Thank you!
Asked by Nikita - Mon Mar 12 19:05:56 2007 - Credit - 7 Answers - 2 Comments

A. I would take out no more than 2. I would start out with a secured card. Granted you would have to put a deposit upfront to secure a line of credit, but the deposit would also garner interest while you're proving your creditworthiness. You could start out small, like $200-300 or larger like $1000-2000. Either way, I strongly suggest you to continue to use your debit card and pay cash like you've been doing, and make small purchases that you can pay off in full every month (around $20-50). I would only use the credit card in dire emergencies. After the secured card becomes unsecured, then you could receive offers for other cards, but chances are just the one card could work just as well. Be sure to dispute anything that was involved in the… [cont.]
Answered by $m vY PS C - Tue Mar 13 09:06:57 2007

How do I switch credit cards and not affect my credit score?
Q. I want to get a frequent flyer credit card but I already have 3 credit cards with generous limits. I don't need these credit cards and I would like to cancel them and have this "possible credit" to go towards the new card. I heard once that canceling a credit card has a negitive effect on your credit score. Is this true? If so, how do I switch credit cards and avoid affecting my credit score in a bad way?
Asked by msc44 - Mon Jan 21 23:44:34 2008 - Credit - 2 Answers - 2 Comments

A. Yes, it is true. Having active credit cards on your record is no problem. It shows that card issuers are willing to extend credit. If these cards have no balance on them, you should have no trouble getting a new card. Apply and start using it. If there are balances on your other cards, it is a different issue. You should pay them off, or transfer them to the card with the lowest interest rate and pay that off as quickly as possible. Then make sure you never have a balance on a card that exceeds about 30 percent of the credit limit. Paying the monthly charges in full each month is the best policy. It also means not paying any interest.
Answered by Serge M - Tue Jan 22 05:41:50 2008

What kind of credit card could I possibly get with having horrible credit?
Q. So my credit score is something like 562. I am looking to get a credit card with something like 2000 dollar limit or lower that wont have unbelievable fees. Does something like this exist? I've applied for credit cards over the last year and have been denied each time. Yeah, my credit sucks. What can I do?
Asked by God Country America Bush Freedom - Wed Jul 21 12:07:29 2010 - Credit - 2 Answers - Comments

A. Every time you try to get a credit card, the inquiry reduces your rating. It is usually only 1 or 2 points, but if you have bad credit it can reduce it up to 5 points. You will not find a card with a $2,000 limit. The best you can hope for is one with a $250 limit. Problem with a limit that low. Any time you use more than 30% of your available credit limit you are destroying your rating. Ex: $250 limit - never use more than $75 at any time during the month on that card. And, of course make sure you pay a credit card in full for top ratings. Carrying balances on credit cards can destroy credit very easily. There are some cards, but I consider them scams. A certain bank has a card. $250 limit $95 annual fee $75 proceesing fee $10 monthly fee… [cont.]
Answered by Angry Bird - Wed Jul 21 12:15:05 2010

What do credit card companies base your credit limit on?
Q. I am pretty positive it's based your salary. And that they look at your credit reports to see credit limits in other cards. My guess is no more than 25% of your salary in credit. Any other guesses on how credit card companies figure out credit limits? Credit card companies do not give out this information.
Asked by Angry Bird - Sun Oct 10 17:54:09 2010 - Credit - 3 Answers - Comments

A. Instead of asking YA for "guesses" why don't you just call some credit card companies and ask them so you will know for sure?
Answered by redhead - Sun Oct 10 18:02:49 2010