Not using a credit card does not directly damage your credit score, but inactivity can indirectly affect it over time
A credit card sitting unused in your wallet will not lower your score straightforward because you are not charging purchases to it. Credit bureaus do not penalize you for avoiding debt. However, inactivity can weaken some of the factors that build your score—particularly if you have no other active credit accounts. The damage is not automatic; it depends on what else is in your credit history.
The real risk is that an unused card may be closed by the issuer. Credit card companies sometimes shut down accounts that show no activity for 6 to 12 months. When that happens, you lose available credit, which can raise your credit utilization ratio (the percentage of your total credit limit that you are actually using). A higher utilization ratio can lower your score, even if you never missed a payment.
Key Takeaways
- Not using a credit card does not hurt your score by itself, but the card issuer may close it after 6 to 12 months of inactivity.
- When a card is closed, your available credit shrinks, which can raise your credit utilization ratio and lower your score.
- A small charge every few months—even a dollar or two—keeps the account active and prevents closure.
- If you have other active credit accounts (a car loan, mortgage, or another card you use regularly), inactivity on one card matters less.
- Closing a card yourself has the same effect as the issuer closing it: your available credit drops and your utilization ratio rises.
How credit utilization affects your score when a card goes unused
Credit utilization makes up about 30 percent of your credit score. It is calculated by dividing the total amount you owe across all cards by your total credit limit across all cards. If you have two cards with $5,000 limits each and you carry a $2,000 balance on one, your utilization is 20 percent ($2,000 divided by $10,000). That is healthy.
Now suppose the unused card is closed. Your total available credit drops to $5,000. The same $2,000 balance now represents 40 percent utilization. Your score can drop 10 to 50 points depending on how close you were to the threshold (most scoring models treat 30 percent utilization as a turning point). You did nothing wrong—the card was straightforward closed—but your score fell.
This matters most if you carry balances on other cards or have few credit accounts. If you pay off your cards in full each month or have a mortgage and car loan in good standing, the loss of one unused card has less impact.
When card issuers close inactive accounts
Credit card companies have no obligation to keep an account open if you never use it. Most issuers close accounts after 6 to 12 months of inactivity, though some wait longer. The exact timeline varies by company and card type. Premium cards (those with annual fees) may be closed faster because the issuer is losing money on the account.
You will usually receive a notice before closure, but not always. Some issuers close quietly. The first sign may be a missing statement or a call from the company asking if you still want the account. If you do want to keep it, you can ask them to reopen it or straightforward use the card to prevent future closure.
Closing happens regardless of your payment history. A card with a perfect record of on-time payments can be closed for inactivity just as easily as one with late payments. The issuer is making a business decision, not a judgment about your creditworthiness.
How to keep an unused card active without carrying a balance
The simplest way to prevent closure is to charge something small to the card every few months and pay it off when ready. A single dollar purchase—a coffee, a newspaper, a streaming service—counts as activity. Pay the full balance when the bill arrives. This keeps the account open and shows the issuer the card is in use, without costing you interest or creating debt.
Set a phone reminder for every two or three months if you tend to forget. Some people set up a small recurring charge (like a subscription service) and pay it automatically. Others charge one purchase per quarter and pay it by hand. Any method works as long as there is activity on the account.
Paying off the balance in full each month also keeps your utilization low on that card (zero percent if you pay before the statement closes). This is the best-case scenario: the account stays open, you build a record of responsible use, and your score benefits from the low utilization.
The difference between inactivity and closing a card yourself
If you decide you no longer want a credit card and close it yourself, the effect on your score is the same as if the issuer closed it: your available credit drops and your utilization ratio rises. The difference is that you control the timing. You can close a card strategically—for example, after paying down balances on other cards so your utilization stays low.
Before closing a card, check your current utilization. If you are already near 30 percent, closing a card will push you over that threshold and likely lower your score. If you are well below 30 percent, the impact is smaller. You can also call the issuer and ask them to lower the credit limit on other cards (which reduces your total available credit without closing an account), though this is less common.
Closing a card also removes it from your credit history, though the account stays on your report for seven years. This can slightly lower the average age of your accounts if the closed card was one of your oldest. For most people, this effect is minor compared to the utilization impact.
When not using a credit card is actually the right choice
If you are trying to avoid debt or have a history of overspending, not using a credit card is a sound financial decision. You do not need to carry a card you do not trust yourself with just to keep your score high. A strong credit score is useful, but it should not come at the cost of financial stability.
If you have other active credit accounts—a mortgage, car loan, student loans, or another credit card you use regularly—one unused card matters far less. Your score is built on multiple factors: payment history (35 percent), amounts owed (30 percent), length of credit history (15 percent), credit mix (10 percent), and new credit (10 percent). A mortgage and car loan already give you credit mix and a long payment history. An unused card is a minor piece of the puzzle.
The key is being intentional. If you are keeping a card open purely for the score benefit, use it occasionally. If you are keeping it closed because you do not want the temptation, accept that your score may dip slightly and move forward. The difference between a 750 and a 740 score rarely affects your ability to borrow; the difference between staying debt-free and falling back into spending habits affects everything.
Frequently Asked Questions
Will my score go back up if I start using an old card again?
Yes. Once you start using the card again, the issuer will not close it, and your available credit stays intact. If you charge something and pay it off, your utilization on that card becomes zero percent. Your overall utilization ratio improves, and your score should recover within one or two billing cycles.
Does closing a card hurt your score more than letting it stay open unused?
Closing a card yourself has the same when ready effect as the issuer closing it: your available credit drops and your utilization rises. The only advantage to closing it yourself is that you control when it happens. If you are going to close it anyway, doing so when your other balances are low minimizes the damage.
What if I have only one credit card and I do not use it?
If it is your only credit account, inactivity is riskier because you have no other active accounts to offset the impact. Use the card occasionally (even a small charge every few months) to keep it open. If the issuer closes it, you lose your only source of credit history, which can make it harder to borrow later.
Can I ask my credit card company not to close my account?
Yes. If you receive a notice that your account is being closed for inactivity, you can call the issuer and ask them to keep it open. They may agree, especially if you have a good payment history. You can also ask them to waive an annual fee if that is why you stopped using the card.
Does having a zero balance on a card help my score?
A zero balance is good for your utilization ratio, but the card still needs to show activity to stay open. Charge something small occasionally and pay it off to keep the account active and maintain zero utilization. This is the ideal scenario for an unused card.