Should I Cancel This Credit Card?

I have a store card with an interest rate about 10% higher then all of my other cards and a credit limit of only $500 which is about 60% lower then my next lowest card. I love having the card as I shop at the store regularly but it does not have any type of reward or point program or store discount. I’ve requested a credit increase but they said they would mail me a decision which I know is generally not a good thing. Im strongly considering canceling the card and just using one of my other cards when I shop there but I run into one issue. Im 21 and trying to build my credit and this was my first card. I got it about 6 months after I turned 18 and all of my other lines of credit are less then 2 years old.
I know that spending any money on this card significantly messes with my debt ratio because of the low limit and the interest rate is completely ridiculous but I dont want to cancel the card and lose several years of credit history. Should I cancel the card? Just stop using it?

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3 Responses to “Should I Cancel This Credit Card?”

  1. redflash says:

    I think it would be best if you stop using it instead of canceling it. The interest and your limit are just absurb.

  2. Silly Goose says:

    Leave your oldest card open that does not have an annual fee.
    Closing it would not bring any benefit. And there is no need to.
    Just remember to change the address if you move.
    (in case they send you a replacement card).
    Not sure why interest was mentioned.
    If what you want to do is build credit, you would pay credit cards in full each month.
    There is no faster way to destroy credit than by carrying balances.
    Never dare carry balances.

  3. BeeLiz19 says:

    Credit rating companies don’t look at individual cards in the debt ratio.
    If you have two cards, one with a 500 limit that’s racked up to 500, and the other card has a 1000 limit with no debt on it, they consider that you’ve spent 500 out of a possible 1500 you could’ve., your debt ratio is 1:3
    I would keep the card, keep applying for the higher limits, and ask if they can reduce the interest.

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