How To Close A Credit Card – A whole lot of people think closing a credit card affects their credit card history, yes it does but a close credit card with a positive credit history can stay on your card report for many years.
This isn’t the main issue with closing a credit card, the major problem with closing a credit card is how well you can utilize your credit card interest.
Your credit card utilization ratio is the interest rate of your credit card balance and your total credit card limits. When you automatically close a credit card, you reduce your overall available credit history.
If you keep your credit utilization ratio below-average interest rate, it shows that you’re using credit but do not depend on the credit.
Tips To Closing a Credit Card
When closing a credit card, it is better to close an unused credit card, closing a credit card comes with so many pros and cons, all these pros and cons depend on how well you use your credit card cards.
It is very important that you consider some factors before closing a credit card, you don’t just wake up one morning and decide to close or throw away your unused or old credit card and you still expect your credit card history to be active.
The best way to close a credit card if you’re tired of one, is by paying off your credit card balance in full and calling the credit card customer service staff to get plenty information’s about closing a credit card and a credit card account
What You Need To Know Before Closing A Credit Card
There’s no standard or official procedure to closing a credit card, you hen you feel like closing a credit card because it’s of no use, you need to make sure you sort out some things before closing the credit card.
Here are some things you need to know before rushing off to close your credit card;
- Pay off every off your outstanding balances on the credit cards.
- Read about the closing procedures of your credit card issuers and banks.
- Make use of all your card points and rewards.
- Cancel every outstanding and automatically bills.
- Visit the customer care and request for a date to close a credit card.
- Ensure you are given a confirmation note to be very sure the credit card has been closed.
You can close a credit card by sending an email to the credit card issuer where you got the credit card from. In the email, you need to input the credit y card information and personal data which the issuer will use to close the credit card. You can also close credit card be visiting the bank of the credit card account.
Note; when a credit card is closed, you’ll not be able to apply for a balance transfer to another bank.