 TITLE: How Do Credit Cards Affect Your Credit Score? CONTENT: How Closing a Credit Card Can Hurt Your Credit\n----------------------------------------------\nWhen you close a credit card account, you instantly reduce the amount of credit available to you. This can negatively impact your credit score because it will likely increase your credit utilization rate.\nThat's why it's usually best to keep credit card accounts open, even ones you haven't used in a while. By leaving accounts open, you increase the amount of available credit you have in relation to the debt you owe. Consider adding a small recurring monthly payment, such as a streaming service or gym membership payment, to a card you haven't used in a while to keep the account active.\nKeep in mind that while it's usually best to keep credit card accounts open, if you are paying high annual fees for cards you're not using or are finding it too hard to resist using a card that's burning a hole in your wallet, your credit score won't necessarily take a big hit if you close an account. If you pay off your balances every month (keeping your credit utilization low) and have other cards with a long credit history, the effect may be minimal. Also, if you've paid your bill on time every month, your closed account can remain on your credit report for 10 years, so it will be a while before the closed account affects your length of credit history. END