Bad credit repair

[forgop]

Originally Posted by Blueface

I should have been clear.
I meant close them as you pay off.
In my case, when I closed down those accounts, the only debt I had was my home and I had an open equity line of credit with a zero balance.

I understand what you meant, but I would leave them open because if someone has a high balance/limit ratio, closing out an account after you pay it still means you may have a high balance/limit ratio. For example:

Scenario A: $20k balances/$25k limits
Your balance/limit ratio is very high at 80%. Let's just say you pay $10k off the top and leave it open. You lower your balance/limit ratio to 40% which will boost your score.

Scenario B: $20k balances/$25k limits
Your balance/limit ratio is very high at 80%. Let's just say you pay $10k off the top and close out $10k in available credit. You lower your balance/limit ratio to 40% which will boost your score. Here, your balance/limit ratio drops to just 66% rather than 40%.

Word of advice: Do not drop any available credit unless you are going to be less than 30%.