The steps to cancel a credit card, in order
Call the customer service number on the back of your card. Have your account number ready. Tell them you want to close the account. They will ask why — you do not have to give a detailed reason, but "I'm not using it" or "I want to reduce the number of cards I have" is enough. They may offer you a lower interest rate or annual fee waiver to keep the account open. You can accept or decline.
If you accept their offer, ask them to note it in your account and send you written confirmation. If you decline and still want to close it, confirm with the representative that the account will be closed and ask when it takes effect — usually immediately, sometimes within a few business days.
After the call, pay any remaining balance on the card. Do not close the account with an outstanding balance; the issuer will keep it open to collect. Once the balance is zero, the account will close on the date the representative gave you.
Request written confirmation of the closure. You can ask for this during the call or follow up by mail or through your online account portal. Keep this confirmation. It shows the account is closed if a dispute arises later.
Key Takeaways
- Call the number on your card, confirm you want to close the account, and pay any balance before the closure takes effect.
- Closing a card reduces your available credit, which can raise your credit utilization ratio and temporarily lower your credit score.
- Older cards with good payment history hurt your score more when closed because they affect the age of your credit history.
- Request written confirmation of closure and keep it in case the issuer reports the account as open later.
- If you have rewards points or cash back pending, redeem them before closing — most programs end when the account closes.
Why closing a card affects your credit score
Closing a credit card changes two factors that make up your credit score: your credit utilization ratio and the age of your credit history.
Credit utilization is the percentage of your total available credit that you are currently using. If you have three cards with $5,000 limits each ($15,000 total) and you carry a $3,000 balance, your utilization is 20 percent. If you close one of the $5,000 cards, your total available credit drops to $10,000, and the same $3,000 balance now represents 30 percent utilization. Higher utilization typically lowers your score.
The age of your credit history also matters. If the card you are closing is your oldest account, closing it removes years from your average account age, which can lower your score. If it is a newer card, the impact is smaller.
The score drop is usually temporary — it recovers within a few months as long as you keep paying other accounts on time and do not increase your overall debt. But if you are planning to apply for a mortgage, car loan, or other credit in the next few months, closing a card right before that application can work against you.
When to close a card and when to keep it open
Close a card if you are paying an annual fee you do not use, if you have multiple cards and want to simplify, or if you are concerned about fraud or identity theft on that specific account. You can also close a card if the issuer has changed terms you dislike — for example, removing a benefit you valued or raising the annual fee without notice.
Keep a card open if it is your oldest account, if it has no annual fee, or if you plan to apply for credit soon. Even if you do not use the card, keeping it open maintains your available credit and your account age. The issuer will not close it for inactivity unless you have been inactive for a very long time — usually several years — and even then, they typically send a notice first.
If a card has an annual fee but you want to keep the account for its age or credit limit, call and ask if the issuer will downgrade it to a no-fee version. Many issuers offer this without closing the account. You keep the history and the credit limit, and you stop paying the fee.
What happens to your rewards and cash back
Redeem all rewards points and cash back before you close the account. Most credit card programs end when the account closes, and you will lose any balance you have not redeemed. Some issuers allow a short window — typically 30 to 90 days — to redeem after closure, but this is not may provide. Do not count on it.
Check your account online or call customer service to see your current rewards balance. Redeem for cash back, statement credits, travel, or merchandise depending on what the program offers. If you have a small balance that is not worth redeeming (for example, 50 points when the minimum redemption is 100), you may lose it. Plan your redemption before you call to close.
If the card does not close after you request it
After 30 days, log into your online account or call customer service to confirm the account is closed. Some issuers take longer than they say, and some make errors. If the account is still open, ask why and request immediate closure.
If the issuer says the account is closed but you still receive statements or see it listed as open on your credit report, request written confirmation again and ask the issuer to send a closure letter to the credit bureaus. You can also dispute the account status directly with the credit bureaus — Equifax, Experian, and TransUnion — by filing a dispute through their websites or by mail.
Keep records of every call, including the date, time, and representative's name. If you had to call more than once, document that too. This protects you if the issuer later claims you never requested closure or if the account appears on your credit report as open.
Closing a card versus becoming an authorized user
If you want to keep the account history but stop using the card, you have another option: ask the issuer to remove you as the primary account holder and make you an authorized user instead. This is less common than closing, and not all issuers allow it, but it keeps the account on your credit report without requiring you to manage it.
As an authorized user, you are no longer responsible for payments, and the account does not appear on your credit report as an open account you manage. The original account holder (usually a family member) keeps the account open and makes payments. This works if you trust the other person to pay on time and if the issuer supports the change.
Call customer service and ask if they allow removing a primary account holder while keeping the account active. If they do, they will walk you through the process. If they do not, closing is your only option.
What to do with the physical card
After the account closes, destroy the physical card. Cut it in half or shred it so the card number is not readable. Do not throw it away intact — someone could find it and attempt to use the number, even though the account is closed.
If the card is a chip card or has contactless payment, cutting it is enough. If you are concerned about magnetic stripe data, you can also demagnetize it by running it through a strong magnet, though this is not necessary if the card is cut.
Frequently Asked Questions
Will closing a credit card hurt my credit score?
Yes, usually temporarily. Your score may drop 5 to 50 points depending on how old the card is and how much of your available credit it represented. The drop is typically largest if you are closing your oldest account or if the card made up a large portion of your total credit limit. The impact usually fades within a few months if you keep other accounts in good standing.
Can I reopen a closed credit card account?
It depends on the issuer and how long ago you closed it. Some issuers will reopen an account within 30 to 90 days of closure if you request it. Others will not reopen at all. Call customer service and ask. If they will not reopen, you would have to apply for a new card, which counts as a new application and may trigger a hard inquiry on your credit report.
What if I have a balance when I try to close the card?
The issuer will not close the account while a balance exists. You must pay the full balance first. After you pay it off, the account will close on the date the representative gave you, or you can call back to confirm closure.
Do I need to close a card if I stop using it?
No. Leaving a card open with a zero balance does not hurt your credit and keeps your available credit high. Close it only if you are paying an annual fee, if you are concerned about fraud, or if you want to simplify your finances. Inactivity alone is not a reason to close.
What happens to my credit history after I close the card?
The closed account stays on your credit report for seven years. During that time, it still counts toward your credit history length, though with less weight than an open account. After seven years, it falls off your report entirely. You can still see it in your own records, but it no longer affects your score.