The basic steps to close a credit card
To close a credit card, call the customer service number on the back of your card, tell the representative you want to close the account, and confirm the closure in writing. The phone call is the fastest way — most closures take effect when ready, though the card issuer may take a few days to process it in their system. Writing a letter or using your online account dashboard works too, but gives you a paper trail if something goes wrong.
Before you call, pay off any remaining balance. Card issuers will not close an account with an outstanding balance, and if you stop paying, the account stays open and accrues interest. If you have a promotional rate or 0% offer still running, paying it off ends that period early, so factor that into your timing.
After the call, the issuer will send you a confirmation letter. Keep this letter for your records — it proves the account was closed on your request, not due to missed payments or other problems. If you do not receive confirmation within two weeks, call back and ask for a written confirmation to be mailed to you.
Key Takeaways
- Pay off your full balance before closing, because most issuers will not close an account with money owed.
- Call the customer service number on your card and state clearly that you want to close the account, then request written confirmation.
- Closing a card can lower your credit score temporarily because it reduces your total available credit, but the effect usually fades within a few months.
- Closed accounts stay on your credit report for seven years, so closing a card does not erase its history.
- If you have multiple cards, close newer ones or those with higher interest rates first, and keep older cards open to preserve your credit history length.
Why closing a card affects your credit score
Closing a credit card lowers your credit utilization ratio — the percentage of your total credit limit that you are currently using. If you have $5,000 in debt spread across two cards with $10,000 limits each ($20,000 total), your utilization is 25%. If you close one card, your total limit drops to $10,000, and your utilization jumps to 50%, even though your debt stayed the same. Credit scoring models treat higher utilization as riskier, so your score typically drops.
The drop is usually temporary. Most people see their score recover within three to six months as the closed account ages and other factors in their credit history stabilize. The impact is smaller if you close a card with a low balance or if you have other cards with available credit.
Closing a card also shortens your average age of accounts if the card you are closing is one of your oldest. Older accounts signal a longer credit history, which scoring models reward. If you have a choice, close a newer card instead.
Which card to close first if you have multiple cards
If you are closing more than one card, prioritize in this order: newest cards first, then cards with the highest interest rates, then cards with the lowest credit limits. Closing a newer card has less impact on your credit history length than closing an old one. Closing a high-interest card first removes the temptation to carry a balance on it.
The exception is if one card has a much higher credit limit than the others. Keeping a high-limit card open — even if you never use it — preserves your available credit and keeps your utilization ratio lower. This is especially useful if you plan to borrow money soon, such as for a mortgage or car loan.
If one of your cards is a store card or a card tied to a retail account, closing it usually has less impact on your credit score than closing a general-purpose card like Visa or Mastercard. Store cards often carry lower credit limits and are weighted less heavily in credit scoring models.
What happens to rewards and cash back when you close
Most card issuers let you use accumulated rewards or cash back before you close the account. You can redeem points for travel, merchandise, or statement credits, or request a cash-back check. Do this before you close, because once the account is closed, you typically cannot redeem rewards that remain in your account.
Read your card's terms to confirm the policy — some issuers let you redeem for a limited time after closure, but most do not. If you have a small balance of rewards that is not worth redeeming, contact customer service and ask whether they will let you cash it out as a small check or credit.
Annual fees stop accruing once the account is closed, so if you are closing to avoid a fee, do it before the annual fee posts. If the fee already posted, ask the issuer to refund it — many will reverse a single annual fee if you are closing the account.
Handling authorized users and joint accounts
If someone else is an authorized user on your card, closing the account cancels their access to the card. Notify them before you close so they are not surprised when their card stops working. The account closure will appear on their credit report as well, though they are not responsible for the decision.
If the card is a joint account — meaning both of you are equally responsible for the debt — both account holders usually have to agree to close it. Some issuers will close a joint account if one person requests it, but the other person may dispute the closure. If you and a joint account holder disagree about closing, contact the issuer to understand your options.
What to do with the physical card after closure
After the account is closed, cut up the card or shred it to prevent someone from finding it and attempting to use it. Even though the account is closed and the card will not work, destroying it removes the risk of identity theft or fraud. Do not throw it in the trash whole.
If the card is still active when you close the account, the issuer may send you a new card in the mail after you request closure — this sometimes happens if there is a processing delay. If you receive a card after you have closed the account, cut it up as well. Do not set up it or attempt to use it.
Monitoring your credit report after closure
After you close a card, check your credit report within 30 to 60 days to confirm the closure was recorded correctly. You can view your credit report for free once per year at annualcreditreport.com, which is the official site run by the three major credit bureaus (Equifax, Experian, and TransUnion).
Look for the closed account to show a status of "closed by consumer" or "closed at consumer's request." If it shows "closed by creditor" or "delinquent," contact the issuer and ask them to correct it. A misreported closure can hurt your credit score and may make it harder to borrow money later.
Closed accounts remain on your credit report for seven years from the date of closure. During that time, they continue to affect your credit score, though their weight decreases as they age. After seven years, the account falls off your report automatically.
Frequently Asked Questions
Will closing a credit card hurt my credit score?
Yes, but usually only temporarily. Your score may drop 10 to 50 points because closing a card reduces your available credit and raises your utilization ratio. The impact typically fades within three to six months. If you have other cards with good payment history, the damage is usually smaller.
Can I close a credit card with a balance?
Most issuers will not close an account with an outstanding balance. You must pay off what you owe first. If you stop paying after requesting closure, the account stays open and continues to accrue interest and late fees.
What if the card issuer refuses to close my account?
This is rare, but if it happens, ask the representative why and request a supervisor. If the issuer still refuses, send a written request by certified mail to the address on your statement. Keep a copy for your records. If the account remains open after 30 days, file a complaint with the Consumer Financial Protection Bureau.
Do I lose my credit history when I close a card?
No. The closed account stays on your credit report for seven years and continues to show your payment history during that time. Closing a card does not erase what you built with it.
Should I close old cards or new cards first?
Close newer cards first. Older accounts help your credit score by showing a longer credit history. If you have to close multiple cards, keep your oldest one open as long as possible.