Hi {first_name},
In our last email we gave you another way you can improve your CUR and with it, your credit scores. To quickly recap:
Pay your balances down.
Pay more than once per month.
Ask for card limit increases.
In this email we’ll explore the third in this series, four ways in total.
Part 3 - Avoid closing any credit cards
OK, this isn’t actually something you can do, but something you should avoid. It is important, though, to understand why.
When you close a credit card it will reduce the total credit available. This will hurt your CUR. (Credit Utilization Ratio) Here’s an example.
If your limits total $10,000 and your balances are $5,000. Your CUR is 50%. If you close a $4,000 card, your available limit drops to $6,000 and your CUR increases to 75%. This substantial increase in your CUR would cause decrease in your credit score.
This is especially true of the oldest cards as the length of your credit history is also a factor in your score.
A possible downside to this would be if that card has an annual fee that you will be wasting keeping that card open.
This completes our series on ways to possibly improve your CUR. We’ve got more valuable tips and information to help with your credit health coming up. Keep an eye out for our next email!
Sincerely,
{{ custom_values.slm__representative }}
{cro_name}
{email_signature}
{phone_number}
Book a call here: Click for your Appointment