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Why are closed credit card accounts without late payments or anything negative listed as negative on my credit report. Am I not allowed to pay off and close a credit card account without it effecting my credit negatively?
If you got anything that's not appropriate, you may always get it disputed with the Credit bureaus. If you pay it off fully it has to be reported with something like "Paid in full".
Generally, you do not want to pay off credit cards and close the accounts, especially, if the credit card is one of your older credit cards. Issuers look at the age of short-term debit favorably, meaning, the oldest credit card with a zero balance and zero late payments shows favorably on your credit report. If close an account after paying it off you also effectively lower your credit to debt ratio. Example: you have 2 cards. Card 1 has $1000 limit and you have $500 balance. Card 2 has a $1000 limit and a $0 balance. In this scenario your credit utilization is 25% and you've persevered a card that shows credit history. This is the part that will hurt your FICO Score. If you close Card 2. Your credit utilization jumps to 50% and you've closed a credit card with could show responsible credit history. Hope this helps.