I have 4 credit cards, and 3 of them are about 4 years old and 1 of them is less than a year old. I noticed that my FICO-8 went down by around 20 points since I got the new card and it hasn't gone up since. I still have pretty much 0 debt(and all loans paid off, no new loans) so my debt ratio wouldn't get affected if I closed a credit card. Is there any downside of closing a new credit card for my case regarding my credit score? If anyone could point me towards a source on how the credit card age is factored into the score, I would really appreciate that too!
What was your motive to get the 4th card?
When you applied for the card, the credit inquiry was probably the source of the score hit. The inquiry will last for 2 years. And even if you cancel the card it will show on your history for up to 10 years.
If you want to manipulate your score, I’d suggest you understand when the accounts report to the credit bureaus, and pay it in full the day prior. My score can swing 30 pts depending on that factor.