Allan -

The problem with paying off and closing the account is that it KILLS your
FICO score, making it harder down the road to obtain credit for something
else when it's really needed.  It's happened me in the past couple of years
when I paid off and cancelled cards I didn't think I needed anymore, I lost
over 60 points because of this.  I even saw a Clark Howard bit on HLN about
this recently.  Doesn't matter if the Card Authority or you close it, it
reads all the same (as a Negative) to the 3 Credit Reporting Agencies.

Just pay the card off and use it sparingly for local purchases and pay the
card off each month.  That's what I do now.
--
Jim Thompson
84 GL 1.9 "Gloria"
84 Westfalia 2.1 "Ole Putt"
72 411 Station Wagon "Pug"
oldvolkshome@gmail.com
http://www.oldvolkshome.com
jim@airheadparts.com
***********************************
On Fri, Apr 17, 2009 at 5:43 PM, Allan Streib <streib@cs.indiana.edu> wrote:

> Don Hanson <dhanson928@GMAIL.COM> writes:
>
> > FWIW  I also got, recently, a revision of terms letter from Discover
> > Card..essentially taking the 'cash back' feature off.  All kinds of fancy
> > technical terms that I didn't understand, but bottom line is you'll
> > *probably* not be getting much cash back from Discover Card purchases any
> > longer.
> >   Sneaky, these financial companies...
>
> You're free to close your account whenever they change the terms, and
> pay of any outstanding balance under the terms previously in effect.
>
> Allan
> --
> 1991 Vanagon GL