Will probably be applying for a mortgage soon. Is there any harm or possible risk of credit limit reduction if I leave a $0 balance on some cards for a few months?
Should I at least charge 2-3 transactions on each card to keep them active and in good standing?
Is there anything wrong with leaving a card with a $0 balance or is there a minimum I should put on the card to keep it open?
byu/whtge8 inCreditCards
Posted by whtge8
4 Comments
It can sit with 0 balance for many months before anything would happen.
A 0 balance is good standing.
Any reputable bank will give you 30+ days notice to use the card before they close it for inactivity.
You could set a reminder to use it once every 3-6 months, that should be enough to keep it open indefinitely
No risk at all and if they have a zero balance, you’re already in good standing.
It typically takes 6-12mo of inactivity for a card to be closed. You still need to monitor your accounts at least monthly. Subscription charges you forgot about or fraudulent charges may pop up and you need to catch those. We’ve seen hundreds of examples of people’s sock drawered cards resulting in a missed payment.
You may see your limits reduced if there is no activity on the card. It’s not super common, but it has happened before.
Why do you no longer want to use your account? Why do you want to keep it open if it’s no longer useful to you?
Nothing really wrong. After so many months I think it’s considered inactive, whatever that means towards your credit.
I wouldn’t leave it unused too long, or they might start to look to close the account. I generally try to make sure I use it twice a year. Once a year should be fine too
Never carrry a balance, of course.