 TITLE: How to Pay Off Credit Card Debt CONTENT: Should You Close a Credit Card After Paying Off Debt?\n-----------------------------------------------------\nEven if you manage to tackle your debt swiftly, it can feel like you're spinning your wheels if you're adding more to your balances each month. Consider putting a moratorium on your current credit card spending while you focus on eliminating the balances. Instead of canceling the accounts, however, consider keeping them in a safe location where you don't have convenient access to them.\nWhen you cancel a credit card account, it can potentially hurt your credit scores by reducing your overall credit limit. This can impact your credit utilization, which makes up 30% of your FICO® Score☉ .\nIf you cancel a card with a high credit limit and have high balances on your remaining cards, even if you pay them in full each month, it could increase your credit utilization and negatively impact your credit scores.\nOn the flip side, if your card has an annual fee or a security deposit attached and you don't plan to use it, it may be worth it to cancel and save money or get your deposit back. You can also consider downgrading your credit card to one without an annual fee.\nIf you decide to hold on to the cards you no longer plan to use, try to use them occasionally (and pay them off immediately) to keep the accounts active. Otherwise, your card issuer may choose to close down the account for you, which they can do without notice. END