closed credit accounts

[masterredfox]

I haven't closed any accounts since I asked Citibank to stop billing me for a secured credit card that they kept making a repeating personal loan to re-pay even after I had a zero balance. I must have missed something in the fine print for that to have occurred. My question is to credit accounts that I have paid off and don't want to use. I had two accounts that were closed because I didn't use the account--I have given the excuse "account inactive" for their closing the account. I am trying to eliminate my debt-to-credit utilization by eliminating account balance one card at a time. I just eliminated the debt on one this year 2020 already and I intend to eliminate at least another if not two by the end of the year 2020.  How do I keep the account in an active status, without actively using the credit card? Or do I have to use the credit card within a certain time period occasionally--which is working against my stopping impulse buying?

[Opus 17]

 That depends on the individual lender.   If you are trying to build a credit score, the usual advice is not to close open accounts. The more credit you have available that you don’t use, the lower utilization ratio. And leaving accounts open increases your average length of credit history. However, if an open account means you’re going to get into trouble and spend money you shouldn’t, then you should probably close it regardless of the impact on your score, because misusing the card will lower your score worse in the long run.

[masterredfox]

Thanks for that information, but the reason I am asking is that I had two accounts that I had eliminated the debt on and had left them unused and the cards were closed by the issuers for non-activity use. This does show up on my credit report as part of the negative effect. I am more than willing to face consequences that I do as a result of my sloppy behavior using credit but when I try to lower my debt correctly and the issuer closes the account what am I suppose to do. If there's an unwritten rule of usage within a certain time period, I would like to know so I can plan effectively if I have to use the card for a small purchase to keep the card active. I am trying to totally eliminate debt and then maintain only 30% of all available credit, but I can't do it via the avalanche method as I have no one but myself to also pay necessity bills so I can only afford to use the snowball method by paying off one debt at a time (one card at a time). It might take me a bit longer but the end goal is the same. I just don't want to have the cards closed by the issuer either.

[Opus 17]

I don't think a closed-inactive account is going to be a specific negative mark, it's just not "open" giving you a lower utilization ratio.  And any past due amounts on those accounts would show up whether it was still open or not.  

I don't know any specific rule about credit lines.  I've never had an account closed for inactivity; currently my credit report shows a car repair shop card that is two years old that only works in a state I don't live in anymore, and joint JCPenney card with my ex-wife that neither of us has used in 10 years.  I guess it depends on your level of risk, and the individual lender.  If you have presented a risk in the past, the lender may want to limit their exposure to future risk by closing your line once you get caught up.

I can only suggest to spread your purchases around several accounts, but only if they are zero annual fee and you pay the balances in full every month.

[masterredfox]

Thanks for your answer, I have an excellent payment record (all on time records) but with the new FICA 10 rating system, credit utilization is the highest factor to hit the score (hence the reason, I am working on lower debit/credit mix).  Like you stated, a closed account lowers your credit utilization total, which I am trying to raise. I just don't want them to close the account for not using it. I am getting mixed messages on this. One states to clear the debt on the card and not use it and another state you need to periodically use it (small purchases that are immediately paid). I am just trying to find out what the time period is of non-use, to avoid them closing the account for being inactive if I have to make an occasional purchase so that I can plan it into my budget. Does anyone have an idea of how long can I leave card inactive prior to using it? 

[Opus 17 · Accepted solution]

As I said at the beginning, its up to the individual lender.  I doubt anyone else will be able to tell you more specifically.