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[quote=Anonymous]Hi all-
I have a few questions regarding credit cards. 
I currently have two. A BestBuy one ($600 limit) (its through CapitalOne) which I just paid off, and a BOA one ($1000 limit) which I got in college, so it's a Student Platinum Plus Visa. I paid that one off yesterday. I am 28 and out of college with a steady job. Not the best income (~$32,000 take home).

Questions-

1) Is there any downside to having zero balance on your credit cards? Obviously, I feel great having them paid off, but I know credit is kind of tricky and I'm wondering if I keep them, but not use them, if that's good or bad. I have heard its good to just use then ocassionally but pay off right away.

2) How long does it take to show up on your credit report when you pay off CC's?  I read that 30% of your credit score is your limit-to-balance ratio. FWIW, I have good credit now but am hoping it will get even better with no balance.

3) Both of my CC's are pretty low balances - Would anyone recommend applying for a high balance credit card ($5000+)?  I don't necessarily want that temptation or burden, but is there any benefit?

4) Since my BOA CC is a "student" one, would it be worth it to "exchange" it somehow for a regular credit card?  I've heard BOA isn't the greatest though. Maybe just cancel it altogether - which leads me to another question- does it hurt your credit to cancel CCs once they're paid off?

Okay, I think that's it!  Any advice is appreciated. Thank you. [/quote]

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