Why Closing Old Credit Accounts Can Hurt Your Mortgage Approval
When you are preparing to buy a home, it is natural to want your credit profile to look clean and organized. Many buyers think closing old credit accounts will improve their score, simplify their finances, and make them appear more responsible to lenders. In reality, closing old accounts can have the opposite effect. Those accounts play a much bigger role in your credit profile than most people realize and shutting them down can create sudden changes that impact your mortgage approval. Understand How Closed Accounts Affect Your Credit History Your credit history length is a major part of your credit…