My husband and I bought a house and renovated it. We ran out of money and still had to do the kitchen. We both have excellent credit scores, so we both opened up 12 month interest free credit cards with a credit line of $20,000 each. I had $5,000.00 on my card which has been paid off and he had around $12,000.00, which is almost paid off. We did it within the 12 month time period. My question is, should we keep those two cards open even though we have no intention of using them again or should we cancel them. I don't want to hurt our credit scores. Thanks Terry!

Terry Says:

Since these cards were recently opened, paid in full, it shouldn’t have much of an impact on your credit score if you close them.  Make sure it says “at holder’s request” on your credit report.  It’s only long-held cards that ding your score when you close them, because part of your score is based on longevity of credit.  Maybe close only one, but why pay the annual fee if you don’t need them.  And, by the way, congratulations for being so diligent in paying them off!