Myth: When you close a credit card or pay off a loan, you lose the value of the account’s age in your credit scores.

Date: December 10, 2013

Fact: As long as an account is on your credit reports

it is considered by credit scoring systems, open or closed and with or

without a balance. As such, if you were to close a credit card that was

opened 10 years ago it would still be seen and measured as a 10 year

old account. And, closed accounts continue to age so an account that was

closed 3 years ago is 3 years older today. As such, closing accounts

will not result in a reduction in your credit scores as a result of the

loss of the value of the account’s age.

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