Originally Posted by dgordon
It would seem that a good strategy if you no longer wanted a card with a fee is to convert it to a product that doesn't have a fee. That way you have unused available credit, history on that credit card, which can help your score. Then put it in a drawer and don't use - it might even have a balance transfer offer that might come in handy.
Somebody, please point out if my reasoning has some flaws.
I am curious about this--- when you convert a card to a no-fee card or something, does that not report as closing one card and opening another? Or do they do it through the same account (thus your history and # of accounts remains the same)?
Also-- does canceling a card hurt you for any other reason than lowering your amount of available credit and possibly shortening your overall credit history length? (which would not be the case if it was your newest care-- it might theoretically help?)