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paying off credit cards

By Terry Savage on November 03, 2019 | Credit/Debt

I have enough money to pay off all my credit cards. I have 4. Is there any benefit to my credit in keeping a small balance going on 1 or more of them? Or just pay it all and be done with it?

Terry Says

There is no benefit to keeping a small balance–and you’re likely being charged at least 18 percent interest. But you should use each of them on a regular basis –or close one of them, probably the one with the highest annual fee — unless you have accumulated points you want to use in the future. Keep your oldest card, for sure, as it demonstrates length of credit history. And when you do use a card, pay in full and promptly. That boosts your credit score.



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