It really feels good when you successful paid off your credit cards.
But did you know that if you cancel the WRONG CARD(s) you can drop your credit score by as much as 20-40 points! For detailed information about the effect of canceling your credit card to your credit score read
https://www.newhorizon.org/cre...
This video will talk about:
0:25 - Reasons why you may want to keep your credit card
1:35 - What can you do if you do not want that card?
1:50 - What to do if you still want to cancel the credit account.
Here are a few things to think about before you cancel that credit card(s)!
Two Main reasons why your credit score may drop:
1. Credit Utilization Ratio. Remember that credit utilization is composed of 30% of your FICO score. If you cancel a card with a high credit limit. Your available credit goes down. And it may look like your credit utilization has gone up!
2. Length of credit history. This makes up 10% o...
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