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How does closing a credit card account affect your credit score?
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Increases Credit Score
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Decreases Credit Score
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Has No Effect
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Boosts Credit Utilization Ratio
That's Correct!
It's Wrong!
Decreases Credit Score is the correct option. Closing a credit card account can negatively impact your credit score by reducing the total available credit, potentially increasing your credit utilization ratio. A lower credit score may result from the decrease in available credit and the impact on credit utilization.
