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Old Sep 29, 2013 | 7:28 pm
  #4  
sharka
 
Join Date: Aug 2006
Posts: 756
Originally Posted by MDtR-Chicago
AAoA includes closed accounts, for as long as they stay on your report. Usually, that's 7-10 years.

Every new account lowers the AAoA. But each year adds one more year to every account on your report, including the closed ones. Just pick an application pace that leads to your target AAoA.

To understand FICO scoring, read the forums at myfico.com


Yes, the longer any card is left open, the longer the AAoA history. So that is why many say to keep even churn cards open as long as possible. Canceling a card at 1 yr will be better for your history than canceling the card at 3 mths after meeting minimum spend. Remember the formula is bases on an AVERAGE.
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