Unused Credit Cards

Should I Close Unused Credit Cards?

Financial institutions are efficient when it comes to giving out credit cards to potential customers. In fact, it is highly likely that you have a significant number of credit cards yourself, some that you use, and others that you do not use. Since you typically only pay interest on any amount that you use, you may think that it is harmless to keep a credit card that you do not use. However, considering the variables ask yourself if you really need to have access to unused credit cards. Here are some answers that will help.


Why you Should Close your Unused Credit Cards

You will find that most credit cards have an annual fee attached to them, which is an expense that you will incur without any actual benefit. Furthermore, this annual fee may be linked to the perks on the card which you are not even enjoying. Considering these, you should get rid of the credit cards because they are a liability.


Why you Should Not Close your Unused Credit Cards

When you have more to gain than to lose by keeping a credit card, than you should not close your cards. For example, the perks that you receive for simply having the card may include freebies which make it possible for you to save from another angle. In that case, you should keep your card so that you can benefit from the freebies. You may only need to transact with it once a year to enjoy all the benefits it offers.

Your credit score is determined based on the total amount of credit that you have access to. This means that even that amount on the unused credit card is considered, no matter how small it may be. When you close an unused credit card, the credit limit is removed from the calculation and this could lead to you having a lower score.


Timing is Everything

After you have made the decision to close your card, when you close it becomes quite important. There are some things that you need to consider. To begin with, if you are in the process of applying for a loan, do not close your unused credit card as this will affect your credit history. Furthermore, consider what the card has to offer before you close it. If it has a high limit, then it would be better for you to keep the card open. The benefit to your credit score could far outweigh the costs. Finally, if you are making a turnaround in your finances, avoid closing all your unused credit cards at one. This would cause your utilizations to spike.


When you look at the information presented, you can now make a more informed decision. If you have a credit card with an annual fee that you can manage, then it is worth keeping the card open so that you can maintain your overall credit score. If you have had the card for an extended period of time, then it would be better to keep it open as it shows that you have a good credit standing. However, an unused car is not meant to add to your financial woes, therefore, if the card is costing you more than you can afford in fees, then you need to close it. This may have a bad impact on your credit score, but it does not mean that the card is worth keeping. Only keep the card if there is no cost attached to it, and when getting a credit card look out for the best no annual fee credit cards.

Forex Trading

Make more money on Forex Trading

The forex market is the most liquid market for traders, and once you master it, you will be astounded by the amount of money that you are able to make. The issue may not be so much how you can make money, it may be more to do with how you can continually and consistently make money while you are trading forex. Here are some steps that you can follow when you want to make more money.


Create a Strategy

This is not the platform that you should be on if all you are looking to do is try your luck. You need to have a strategy in place so that you are able to attain a profit. There are a number of strategies that you can choose from, though what you should consider is your own personality and the time that you have available for trading. Furthermore, you also need to be aware of how much risk you are able to take on without being nervous.


Prepare as Much as You Can

Once you know which strategy you would like to follow, it is time for you to make preparations. This means that you need to understand how the forex market works. One way that you can achieve this is by creating a practice account and using it as much as possible to ensure that your strategy is working. This will make it easier for you to determine which level of risk that you would be comfortable with.


Take Your Time

With a head that is full of knowledge for success, you may be tempted to dive right into trading without adequate thought. Forex traders need to be patient, especially when they are just starting out. This means that in the event that the trade does not give you the result you are expecting, you may panic and make a rash trading decision. It would be better to wait it out as it is highly likely that you may get a profit, as long as everything is happening within your own risk threshold.


Do Not Obsess over the Charts

Charts are meant to help you, as well as to guide the decisions that you make when you are trading all day. The issue is that you can get obsessed with the charts, spending all of your time going through them in order to determine when would be the best time to make a decision. The issue with this is that while you are spending all your time on the charts, you are not actually doing any trading. It would be better for you to decide when you should look at your charts, possibly only once in the day. This will make it easier for you to decide on how to trade.


Calculate Your Risk

When you are afraid of losing money while trading, then you make decisions that affect your ability to actually make money. To make more money, you need to be willing to take some risks so that you can get a higher pay out. This means that the money you are using for forex trading should be money that you are willing to lose. This type of money will ensure that you do not make emotional mistakes when you are trading. Furthermore, when you do make some money you can easily reinvest it so that you can increase your returns.


More than USD 2 trillion is available on the forex market worldwide. The odds, for the most part, will not be in your favor unless you have an excellent plan in place. Use these ideas to help you achieve profit with ease.