A Lesson in Protecting Your Oldest Credit Card
The idea of protecting a credit card may sound ludicrous considering the way people like Dave Ramsey demonize their use. Let’s face it, credit cards are a convenient way for banks to make money from fees and interest payments, but there is one credit card you might consider preserving for the sake of your financial longevity.
Your oldest credit card might quietly be one of the most important tools for building–and keeping–a strong credit history.
Your Credit Age Matters
When lenders (and credit bureaus) look at your credit report, one of the key factors they weigh is the length of your credit history. Think of it like a dating profile—someone with a long track record looks more reliable than someone brand new. Your credit age is calculated as the average age of all your accounts. That first credit card? It’s basically the foundation stone. The longer it stays open, the more it helps keep your average age up. Cancel it, and suddenly your whole credit history looks “younger,” which can drag down your credit score.
A Stable Account Shows Responsibility
Banks and lenders like to see consistency. Keeping your oldest account open shows you’ve been able to manage credit for years without issues. This can look especially good if you’re planning to:
Apply for an apartment lease
Finance a car
Or even eventually buy a home
That stable record speaks louder than any flashy rewards card.
It Helps Your Credit Utilization Ratio
Another big factor in your credit score is credit utilization—basically, how much of your available credit you’re actually using. If your oldest card has, say, a $2,000 limit, that amount is helping keep your overall utilization lower even if you don’t actually spend on it every month. Close the card, and you instantly shrink your total available credit, making your balances look heavier.
It Costs You Nothing to Keep
If your first credit card does not have an annual fee, there’s little downside to keeping it open—even if you barely use it. A good strategy is to set up a small recurring charge (like a streaming subscription or monthly app fee) and pay it off automatically. That way, the account stays active, you avoid surprises, and you continue benefiting from the positive history.
When Closing Might Make Sense
If your oldest card does come with a pricey annual fee and offers little value, it may be worth reevaluating. But before you close it, call the bank and ask about a “product change”—sometimes they’ll downgrade you to a no-fee version while preserving your credit history.
My Mistake, and My Lesson Learned
After my separation six years ago, I went through my credit card accounts to determine where I was the primary user versus an authorized one. There was an American Express account where I could have sworn I was the primary user, and since the account had been opened in 2008, I decided not to touch the account for the reasons already mentioned.
A few weeks ago I was going through the American Express accounts, paying off balances, and much to my surprise, there was an annotation next to this particular account informing me that the card had been canceled.
As my toddler would say: WHATCHOO SAY?
I called Amex, thinking: Fine, I hadn’t spent any money on the card in a while. Banks will close cards for lack of activity, but I figured I was still within the grace period to have them reactivate the card.
Umm, not so much.
You see, it turns out my ex-wife was actually the primary user. For whatever reason, she chose this summer to boot me off the account, and now, instead of my credit history beginning in 2008, my credit history will show as having started in August 2016. So rude.
The impact will not be immediate. As far as I know, the account was in good standing. This means I will benefit from the older start date for ten years before the credit card falls from my credit history, and by that point I’m hoping it won’t really matter.
But this just goes to highlight the importance of a few things:
Don’t let your spouse open cards under your name, or add you to an existing card, without your knowledge.
If you split up, double check, maybe triple check, every account to make sure you know your role in each account.
If it turns out you are the primary user on a credit card shared with your spouse, remove them from the account post haste. Their charges are going to become your responsibility.
Bottom Line
Your oldest credit card is more than just the training wheels of your financial life—it’s a powerful part of your credit foundation. Even if it’s not glamorous, keeping it around can make your financial future much smoother. Before cutting it up, think twice. Future you—facing a mortgage lender, car dealership, or background check—will be glad you did.
If you are, or were, in a serious relationship and comingled your finances, now may be a good time to look through everything and make sure you know what’s what and what your relation is to each item. My situation amounts to a bit of annoyance, but if you’re not careful, your consequences could get costly.
How long have you had your oldest credit card? Which card did you get, and looking back now, would you still have gotten that particular card if you knew then what you know now?
