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 ask them to confirm the closure in writing. Most issuers will process the request when ready over the phone. Before you call, pay off any remaining balance — the account cannot be closed with an outstanding balance, and closing with a balance still reporting will hurt your credit score more than closing with a zero balance.
After you hang up, the card issuer will send you written confirmation that the account is closed. Keep this letter. Check your credit report 30 to 60 days later to confirm the account shows as closed on your report. If it does not, contact the issuer again with your confirmation letter.
The timing of closure matters. If you close an account when ready after paying it off, the issuer may report the final payment but not the closure right away, which can temporarily make your credit look worse. Waiting a month or two after paying off the balance before closing gives the payment time to fully report.
Key Takeaways
- Pay the full balance before closing — accounts cannot be closed with money owed, and closing with a balance damages your credit more than closing with zero.
- Call the number on the back of your card and request closure; the issuer will usually process it the same day and send written confirmation.
- Closing a card reduces your available credit, which can raise your credit utilization ratio and lower your score even if you pay other cards on time.
- Older accounts that you close stay on your credit report for up to 10 years, so closing does not when ready erase the account history.
- Wait 30 to 60 days after paying off the balance before closing to let the payment fully report and minimize the temporary score drop.
Why closing a card can lower your credit score
Closing a credit card reduces the total credit available to you. If you have a $5,000 limit on the card you are closing and $15,000 in limits across your other cards, your total available credit drops from $20,000 to $15,000. Your credit utilization ratio — the percentage of your available credit you are using — goes up even if you do not charge anything new. A higher utilization ratio lowers your score.
The impact is usually temporary. Your score will recover over a few months as long as you keep your other accounts in good standing and do not miss payments. The damage is smaller if you close a card with a low limit or if you have other cards with high limits. Closing a card with a $500 limit when you have $50,000 in other available credit causes almost no change. Closing your only card with a high limit when your other cards are nearly maxed out can drop your score by 10 to 50 points.
The age of the account also matters. Closing an older account removes its positive history from your active accounts, which can lower your average account age and hurt your score slightly. Closing a newer card (less than two years old) has less impact on age.
What happens to the account after closure
A closed account stays on your credit report for up to 10 years if it was in good standing when you closed it. This is actually good for you — the account continues to show a positive payment history, which helps your credit score. If the account had late payments or was sent to collections, it will fall off your report seven years from the date of the first missed payment, not from the date you closed it.
You cannot use the card after closure, but the account itself does not disappear from your credit history. Lenders can still see that you had the account and managed it responsibly. This is why closing a card does not erase your credit history — it only removes it from your list of active accounts.
If the issuer reports the account as closed by you (rather than closed by the issuer), it will show that distinction on your report. This is neutral and does not hurt your score.
When to close a card and when to keep it open
Close a card if you are paying an annual fee and do not use the card enough to justify it, if you are tempted to overspend on that account, or if you have too many cards to manage responsibly. Closing a card you never use but that has no annual fee is usually not worth the small hit to your credit score — the account helps your utilization ratio and your average account age at no cost to you.
Keep a card open if it has no annual fee, if it is one of your oldest accounts, or if it has a high credit limit that you do not use. These cards help your credit score by existing. If you are worried about fraud or identity theft on an old account, you can freeze the card (ask the issuer to stop allowing new charges) rather than close it.
If you are closing a card because you are trying to improve your credit score before explore for a mortgage or large loan, consider waiting until after the loan is approved. The temporary score drop from closure could affect your interest rate or approval odds.
Handling rewards or points before closure
Check your rewards balance before you close the account. Most issuers let you redeem points or miles up until the moment of closure, but some have rules about what happens to unused rewards after the account closes. A few issuers let you keep the points after closure; others require you to use them before the account is closed.
Call the issuer and ask what happens to your rewards when you close. If you have a substantial balance, redeem it for cash back, travel, or merchandise before you request closure. If the issuer will not let you redeem after closure, redeem first, then close.
Dealing with authorized users and joint accounts
If someone else is an authorized user on the card, closing the account removes their access to the card. Let them know before you close. If the card is a joint account (meaning both of you are legally responsible for the debt), both account holders usually have to agree to closure, and the issuer may require both of you to call.
If you are an authorized user on someone else's card and want to remove yourself, you can call the issuer and ask to be removed. This does not close the account — it only removes you as an authorized user. The account will stay open and continue to affect your credit report as long as you remain an authorized user, even if you do not use the card.
What to do if the issuer refuses to close your account
Most issuers will close an account on request, but a few may ask why you want to close or try to convince you to keep it open. If the issuer refuses to close after you have asked clearly, request the closure in writing. Send a letter to the address on your statement saying you want to close the account, keep a copy, and send it certified mail so you have proof of delivery.
If the issuer still refuses, file a complaint with the Consumer Financial Protection Bureau (CFPB). The CFPB can investigate whether the issuer is breaking the law. You can also contact your state's attorney general's office or banking regulator. In practice, issuers almost never refuse closure — they may delay or push back, but they will close the account if you persist.
Frequently Asked Questions
Will closing a credit card hurt my credit score?
Yes, usually by a small amount. Closing a card reduces your available credit and raises your utilization ratio, which can lower your score by 5 to 50 points depending on how much credit you have and how much you are using. The impact is temporary and your score will recover over a few months if you keep other accounts in good standing.
Can I close a credit card if I still owe money on it?
No. You must pay the full balance before the issuer will close the account. If you have a balance, make a payment to bring it to zero, then request closure.
What happens to my rewards points when I close the account?
It depends on the issuer. Some let you redeem points after closure; others require you to use them before the account closes. Call the issuer before you close and ask what happens to your balance. If you have a lot of points, redeem them first.
How long does it take to close a credit card?
The issuer will usually process the closure the same day you call. You will receive written confirmation in the mail within one to two weeks. The closure may not show on your credit report for 30 to 60 days.
Should I close old credit cards to improve my credit score?
No. Old cards help your score by showing a long payment history and by increasing your available credit. Closing an old card usually lowers your score. Keep old cards open unless they have an annual fee or you have a specific reason to close them.