Instead of cancelling in a case like this just call and have the credit line decreased. I do this a lot as new cards often come with outlandish limits scaring off other creditors.

The history only shows for a cancelled card for a very few years so sometimes it's better to leave it open. And I can always ask for the limit to be increased back if it presents credit problems.

Of course I cancel new cards I just get for promos if they have high annual fees.