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Do not cancel those cards Let me explain Applying for a credit card can hurt your credit score a little. According to FICO, a hard inquiry - when a card issuer pulls your credit after you apply - can lower your score. However, the impact is temporary. Hard pull stays on your credit report for two years, but their credit score effects wear off after one year. ...


Your credit score increases when you consistently pay on time. As the months and years go by, the length of the credit history goes up which helps that sector of your score. The lack of negative reports in your history helps your payment history sector of your score. According to myFICO: Payment history (35%) The first thing any lender wants to know is ...


When you close an account you lose the available credit limit on that card and that will affect your utilization rate, which is simply your total card balances divided by the total of your credit limits. It's simple as that when you close an account, you lose the available credit limit on that particular account. As a result, your existing balances become a ...


Canceling a credit card can cause your score to drop as it can lower the average age of accounts on your credit report, especially if it's an account that's been open for a long time. This is because the age of your accounts is factored into your credit score, with longer payment histories bolstering your credit score. If you close an account that's been in ...


Soft inquiries occur when businesses, such as lenders, insurance companies, or credit card companies, check your credit to pre-approve offers. Soft inquiries aren't linked to a specific application for new credit and these inquiries have no effect on your credit score as they are never considered as a factor in credit scoring models. This should help.


If you don’t want it, just cancel the card. The damage to your credit score has already been done when you applied, because of the credit inquiry. This probably didn’t affect your score much. When you cancel this card, every other factor (credit history, credit utilization, etc.) will be exactly the same as it was before you got the card.


When you apply for a loan with a bank, credit union or auto dealership they will want proof of income. In the United States they will want to see pay stubs any maybe even a W-2 from last year, other countries will have similar requirements. Under the table income doesn't come with proof of income. You also have a problem regarding taxes, you still have to ...


My advice would be to buy an older used vehicle for cash using your current savings, and not take on any debt. Your future self will thank you for it.

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