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How much does closing an existing, good standing, TL affect one's credit score?


seekingadvice
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Nearly two years ago I opened secured credit card account to rebuild my credit. When the account was opened, there was a one time fee of around $79.00 or so. The issuing bank was closed by the FDIC earlier this year and later taken over by another bank. Anyway, the terms and conditions have changed substantially. What was once a one time fee of $79.00, has now become an annual fee of $50.00 on the anniversary of the accounts' opening. My question concerns the affect of closing the account on my credit scores. Again, it's a secured card that has no benefits and as I stated, my concern is how much might it affect my credit score to close the account.

Does anyone have any experience with this type of issue?

Any suggestions are greatly appreciated.

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Is this your only card? Is it your oldest card?

If its your only card, I would sock drawer the card and pay the AF until you can obtain other unsecured cards without AF's. If you already have other cards already and you have low utilization on your open TL's, then when you close the card your overall utilization will go up because you will be reducing the amount of your overall credit. So what would your total utilization be if you closed the card?

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