I have a Spirit Airline credit card with a $200 limit and a $79 annual fee. I don’t want to hurt my credit score, but I also don’t use this card anymore
The fee is almost half of the limit
Fifer said:
The fee is almost half of the limit
If this was the original setup, it might violate regulations since annual fees shouldn’t exceed 25% of the credit limit for the first year.
A $200 limit is surprisingly low. Your credit score shouldn’t take much of a hit from it.
Dawson said:
A $200 limit is surprisingly low. Your credit score shouldn’t take much of a hit from it.
I used to have a higher limit, but the bank moved most of it to another card, which is why this one is now at $200. I’ve been meaning to cancel it, but I’m afraid of hurting my credit score while also hating the annual fee. Getting this card was one of those regrettable decisions in life
@Bennie
If you close the account in good standing, it will stay on your credit report for 10 years. There shouldn’t be an immediate negative impact on your credit. Since the limit is so low, closing it won’t change your utilization significantly.
Just go ahead and cancel it to keep that $79 for yourself, you deserve it!
@Bennie
Paying an annual fee for a card you don’t use isn’t worth it. Just cancel it.
I would cancel it to avoid the annual fee.
Having the best credit score isn’t everything. Keeping more money in your pocket is what matters. Canceling might cause a slight dip in your score, but that $79 is a set expense if you keep it.
Thanks to everyone who replied
I’d recommend canceling it. You’re not getting $79 worth of benefits.
You could either cancel it or see if you can switch it to a card with no annual fee.
You’re being taken advantage of. Just escape, the consequences are worth it.
What are you waiting for?
I’d suggest closing this account. It’s not worth keeping. You might want to look into a high-yield savings account. Even starting with $100 can get you a 4.75% APY. Open that account before closing this one. With many of these accounts, you can get a debit card and sometimes even a credit card. With such a low limit, there’s nothing to lose. If you already have a bank account, check if they offer a credit card. Unless you really need to boost your credit, this card isn’t useful. Wishing you the best.
Closing it won’t significantly affect your credit because it’s such a small limit that doesn’t impact your overall utilization much.