The Hidden Cost of Letting a Credit Card Go Dormant

The Silent Credit Score Killer: Inactivity

Most people worry about spending too much on their credit cards — but the opposite can be just as harmful. Letting a credit card go completely inactive is one of the most common and least understood ways people lose points on their credit score.

Why? Because inactivity looks like abandonment to the bank.

What Really Happens When You Don’t Use a Card

If a card stays unused for long enough, the issuer may:

• Reduce your credit limit

• Close the account entirely

• Flag it as dormant

• Stop reporting positive activity

Each of these actions hurts your credit more than most people realize.

How a Closed Card Affects Your Credit

1. Lowers Your Available Credit

When a card is closed, your total credit limit shrinks. This instantly raises your utilization ratio — the percentage of credit you’re using — which is a significant scoring factor.

2. Shortens Your Credit History

Older cards help anchor your credit age. If an old card gets closed, your average account age can drop significantly.

3. Removes a Line of Positive Payment Activity

No activity means no monthly “proof” that you’re managing credit well.

And the Worst Part?

You usually don’t even know a card is at risk of closure until it’s already too late. Banks are not required to give you much warning, and some don’t warn at all.

The Simple Fix: Keep It Lightly Active

You don’t need to spend hundreds or take on debt. You don’t even need to shop with the card. Just one small transaction every month or two is enough to keep it healthy.

Good examples include:

• A tiny monthly subscription

• A cloud storage fee

• A digital service you already use

• A small recurring donation

• A micro-payment on autopilot

As long as something hits the card, it stays active and safe.

Why This Matters More Than Ever

Banks today are quick to close dormant accounts because:

• It reduces their risk exposure

• It cuts operational costs

• It improves their financial metrics

• It avoids maintaining “dead” accounts

In other words, if you don’t use it, they don’t want to keep it open.

Final Thoughts

A dormant card is more than a forgotten piece of plastic — it’s a potential threat to your credit health. With one tiny recurring payment, you can shield your score, protect your history, and keep every account working for you.