Credit scores-what helps, what hurts?

iVillage Member
Registered: 07-26-1999
Credit scores-what helps, what hurts?
2
Thu, 02-28-2013 - 2:23pm

Wondering what helps and what hurts credit scores?

I'm planning to close the myriad of ING accounts that I've had for years, and continue to use my primary long-standing bank account. I've also got a new local credit union account.

DH has a check account that has been open @ 14 months that I was made joint on last summer. He also has a couple of other long term accounts with our local credit union, and the new business account I've just opened replaces the check account that I'm joint on, so I was thinking of closing this account. We don't need it and won't be using it any longer, and it costs to keep it open. But would closing the account damage our credit scores more than saving the monthly fee is worth? A couple of his other long term accounts are joint with his ex, and have to be closed in order to take her off the account.

I don't want to damage our credit scores by closing a bunch of accounts, but our current situation is such that we have more accounts open than what we need, and I don't want to have to monitor them or even think about them.

I know the current debt:credit ratio is probably enough of a problem that closing bank accounts is a non-issue, but thought I would ask.

Any advice?

Community Leader
Registered: 07-26-1999
Thu, 02-28-2013 - 5:11pm

Marie would have a much better knowledge of this, but I don't believe opening and closing checking and savings has anything to do with your credit score, I think its credit accounts such as credit cards, loans, cell phones, things that involve borrowing money and making resolving payments. 

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iVillage Member
Registered: 07-27-2009
Fri, 03-01-2013 - 12:12am

No worries, checking and savings accounts are not listed on your credit reports (unless you have an overdraft that has gone into collections). PP is correct that only credit accounts are listed on your credit files. Cell phones/utilities are not typically listed on credit files unless they are in collections or VERY overdue. Closing all of those extra accounts will probably make your life a little simpler :)

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