How To Cancel A Credit Card

Whether there are too many cards on hand or a balance transfer has been taken out, it is always good to know how to cancel a credit card without any hassles.

Credit card providers value the service of cardholders, so they will often discuss reasons for account closure and could even try to persuade you to keep the account open if loss or theft is not the issue.

But whatever the reason behind cancelling a card, the following steps provide a great guide to help you go ahead with the process once the decision is made.

Clear Any Card Debt

Before contacting the credit card provider and informing them of your plans to close the account it is a good idea to clear the card’s balance.

Make sure you factor in any accumulated interest or annual fees so that there is no reason the account would need to stay open. If a balance transfer has been undertaken, the debt will be on a new card and this process should simply be a matter of paying any service fees before the account can be closed.

Redeem Credit Card Rewards

If the credit card is part of a rewards program then you may want to check the balance and see if there you can claim any benefits before cancelling the card.

That way you will still have got some value out of using the card, as well as a bonus for cancelling it.

Call The Credit Card Provider

When the account is in order it is time to call up the credit card provider. Make sure you have all the card and account details available and confirm that there is no balance on the card before letting them know you wish to cancel the account.

Closing a credit card account will be noted on your credit history and it is important to request that they note down the reason for the account closure and that it was your decision to close the account, so that future lenders are aware it was an independent decision.

It is also a good idea to take note of the customer service representative’s name or identification number, and the time of the call in case any complications arise later on.

Follow Up In Writing

Further to the phone call cancelling the card, sending a formal letter confirming the cancellation, account details and phone call will make sure there is a paper trail and that responsibility lies with the lender.

Requesting written confirmation of the cancelled credit card is also a good idea, so that if your credit history shows discrepancies you can sort it out more easily.

Credit card cancellation can take a while to be confirmed, but once you have gone through this process it will simply be a matter of waiting for confirmation.

With a thorough approach to cancelling cards you can be sure your accounts and credit history are in good order.