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I recently starting building my credit history. To my plesant surprise, many of my applications for credit cards were approved. In the end, I realized that I have too many credit cards. Amex Personal Card, Amex Platinum Cash Rebate Card, Amex Optima Platinum Card, Capital One Visa, Next Card Visa, Providian Visa, and Chase Shopnow.com Mastercard. Although I pay all my balances in time, I am really nervous about having so many credit cards because I fear getting sucked into the debt hole. But my problem is what cards to keep and what cards to cancel. Does cancelling a credit card affect my credit history? Please advise me on this.

Keep the cards with the lowest APRs and Annual Fees (preferably $0). If you you have a card with a travel/rewards program that may be worth keeping if you are earning significant points. As far as canceling cards you should make sure that the issuer reports to the credit bureau that you have closed the account, and no it won't hurt your credit history.

Thanks for your advice. I tried cancelling my Providian account because they have financial charges every month even if I pay the balance in full. The agent at Providian told me that if I cancel the account before 1 year, it will have a negative effect on my credit history. Is it simply a ploy?

You are so lucky man!.

Please advise me, when did you begin with your first credit card and how long
you wait before to apply for the next one ?

I started off last summer by applying for an American Express Optima secured card by sending in $200.00 as deposit (It is refunded along with interest when you decided to close the account). So I started with a $200 credit limit. After a few months, I qualified for a Capital One Visa with a $200 credit limit. I managed with both these cards till this summer, when I started qualifying for most credit cards. So it takes about 9-12 months to get your credit history in reasonably good shape, provided you pay all bills on time. However, there are some very choosy credit cards who deny you credit even after 1 year of good credit history. In my opinion, you build a good credit history with American Express by starting off with an Optima Card. Good luck, my friend!. It takes a while, but you will get there.

Thank you very much for your reply!. I already have a capital one secure card since
7 months ago. I will apply for the optima secure in the next days as you advised me.
I hope to have success on this.

Thanks