How often do you use them? What size purchases do you make? How do you remind yourself to use them? How many of yours have been closed due to inactivity?
I have two of these cards. I charge Spotify to one of them (my only subscription) and the other is used once every 3 or so months on ~$30 on groceries.
My credit file is thick enough at this point (51 total accounts, 15 open) that I don’t keep cards that don’t have an active purpose. I just close 'em when I’m done with them.
The two cards that are closest to sock drawer cards are JetBlue and Hawaiian Airlines, both of which are used only for those airlines in particular. I don’t take any special action to keep them active.
The only card that ever gave me a warning was US Bank Altitude Go, which was inactive for about a year when I got an email to use it or lose it. I PC’ed to Cash+ and that’s now my Utilities card.
I don’t get credit cards that I don’t have any intentions of using, hence I don’t have any sock drawer cards.
Honestly I think if you aren’t organically using a card at least once in a year or two you’re better off just letting it close.
Ashwin said:
Honestly I think if you aren’t organically using a card at least once in a year or two you’re better off just letting it close.
The sock drawer cards are usually some of the earlier cards people get in their portfolio. Credit age is a super important factor in determining credit score and so as long as it doesn’t have an annual fee, it doesn’t make much sense to close it and hurt your score.
@Derry
A closed account stays on your report for 10 years. It does not hurt your score.
SlopRules said:
@Derry
A closed account stays on your report for 10 years. It does not hurt your score.
Very interesting!
SlopRules said:
@Derry
A closed account stays on your report for 10 years. It does not hurt your score.
I learned something new today. Thanks!
SlopRules said:
@Derry
A closed account stays on your report for 10 years. It does not hurt your score.
That being said, I’m not trying to have large credit limits close but some I just won’t likely use.
A 10k Jared store card from engagement ring that’s paid off, that can close. My wife doesn’t wear a lot of jewelry. I had a furniture store card close, my Samsung credit line, Google credit line.
But I’ll keep my old Cap1 cards going, cause 10k limits on each.
Ashwin said:
Honestly I think if you aren’t organically using a card at least once in a year or two you’re better off just letting it close.
This is just hilariously untrue for airline and hotel cards.
I’ve always closed cards after churning them. It’s never been an issue for me: https://www.reddit.com/r/CreditCards/wiki/what_happens_if_you_close_a_card
I figure if I have to go out of my way to keep a card open, I don’t need it. I generally just let them go. If the bank wants to close them, they can go right ahead.
I buy one $10 Amazon gift card once per year.
LizCampbell said:
I buy one $10 Amazon gift card once per year.
Why?
LizCampbell said:
I buy one $10 Amazon gift card once per year.
Why?
So they don’t get closed due to inactivity.
Sterline said:
LizCampbell said:
I buy one $10 Amazon gift card once per year.
Why?
So they don’t get closed due to inactivity.
Why would you care if a card that you don’t like gets closed due to inactivity?
@Sterline
Keeps the credit line open.
Ellington said:
@Sterline
Keeps the credit line open.
Yes but why?
What is the perceived benefit of an open credit line that you never use?
Ellington said:
@Sterline
Keeps the credit line open.
Yes but why?
What is the perceived benefit of an open credit line that you never use?
Dilute any former late payments by reporting positive payment?
Ellington said:
@Sterline
Keeps the credit line open.
Yes but why?
What is the perceived benefit of an open credit line that you never use?
[deleted]