Your credit score affects your ability to get loans and favorable interest rates. A credit card with no balance can help improve your credit score, so consider the benefits of keeping it that way.
Payment History
Your payment history accounts for 35 percent of your FICO score, the most widely used credit score. A credit card with no balance remains on your credit history, even until seven years after you close it, according to the Motley Fool, so unused cards do contribute to good credit.
Credit Ratio
The credit limit of your card with no charges can improve your score when added to the limits of cards with higher balances. The Motley Fool recommends your total credit card debt not exceed 30 percent of your credit limit. For example, if you only have one card with a $2,000 credit limit and charge $1,000, your debt ratio is 50 percent. With a second, unused credit card with a $2,000 limit, your ratio drops to 25 percent.
Account Age
A longer average account age increases your credit score. Fifteen percent of your credit score depends on how long you've had credit, so keeping an old card open, even if you rarely use it, improves your score, according to MyFICO.
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