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Q: I heard I can’t cancel more than one credit card a year. Is this true?

A: No. There is no limit to the number of credit cards you can cancel in a year. But go ahead and pay down your balance in full before you do so. (Otherwise, it could hurt your credit score.) Also, be aware that canceling a credit card will not erase history: if you have already missed a credit card payment, the issuer will have shared the information with the credit agencies who will keep marks on your credit report for up to seven years. So while canceling is a good way to limit overspending it won’t negate a poor track record of irresponsible borrowing.

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