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. That is the core process. But the order matters, and what you do before you call determines whether closing the card helps or hurts your credit score.
Before you call, pay off any remaining balance. A card with a zero balance is easier to close, and you avoid paying interest while the closure is being processed. Then call the number on your statement or the back of your card — not a number from a marketing letter or email, which may route you to a sales team instead of account services.
When you reach a representative, state clearly that you want to close the account. They may offer incentives to keep it open; you can decline. Ask three things: whether there is a remaining balance, whether the account will be reported as closed by you or the issuer, and the effective date of closure. Write down the date and the representative's name.
Follow up with a written request. Send a letter or email to the address on your statement saying you requested closure on [date], asking for written confirmation that the account is closed, and requesting that the card issuer report it as "closed by consumer" rather than "closed by issuer." Keep a copy for your records.
Key Takeaways
- Pay off your balance before calling to close the account, so you do not carry interest charges during the closure process.
- Call the customer service number on your card or statement, not a marketing number, to reach the right department.
- Request written confirmation of closure and ask that the account be reported as "closed by consumer" to your credit report.
- Closing a card reduces your available credit, which can raise your credit utilization ratio and temporarily lower your score.
- The impact on your score is usually temporary and smaller if you have other open accounts and low balances elsewhere.
Why closing a card affects your credit score
Your credit score depends partly on credit utilization — 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 $3,000 in balances, your utilization is 20 percent. Close one card, and your available credit drops to $10,000, making your utilization 30 percent, even though you owe the same amount.
A higher utilization ratio can lower your score by 10 to 50 points, depending on how high it goes and what your other accounts look like. The effect is temporary — your score usually recovers within a few months as the closed account ages and other factors in your credit history become more prominent.
The impact is smaller if you have multiple open accounts and low balances on the ones you keep. It is larger if you have few cards or already carry high balances on your remaining cards. If your utilization is already above 30 percent, closing a card will hurt more than if it is below 10 percent.
When to close a card and when to leave it open
Close a card if you are paying an annual fee you do not use, if the card has a high interest rate and you are tempted to carry a balance, or if you straightforward want to reduce the number of accounts you manage. Closing a card you no longer use does not harm your credit history — the account stays on your report for seven to ten years after closure.
Leave a card open if it has no annual fee, if closing it would raise your utilization ratio above 30 percent, or if it is your oldest account. Age of accounts matters to your score; closing your oldest card removes that history from your active accounts and can lower your score more than closing a newer one.
A middle option is to keep the card open but stop using it. You avoid the utilization hit, preserve the account history, and can reactivate it later if needed. Some issuers will close inactive accounts after 12 to 24 months of no use, so check your card's terms if you plan to leave it dormant.
What happens to rewards points and cash back
Rewards points and cash back balances are usually forfeited when you close a card, though the rules vary by issuer. Some cards let you redeem points up to the moment of closure; others require you to redeem before you call. Check your card's terms or ask the representative before you close whether you can redeem remaining rewards.
If you have a large rewards balance, redeem it first. Convert points to cash back, travel credits, or merchandise — whatever your card offers — before you request closure. Once the account is closed, most issuers will not let you access or redeem points, even if you had a balance at the time of closure.
Handling authorized users and joint accounts
If someone else is an authorized user on your card, closing the account will cancel their card too. Let them know before you call. If the card is a joint account — meaning both of you are equally responsible for the debt — both account holders usually need to agree to closure, and the issuer may require both signatures on the written request.
If you are an authorized user on someone else's card and want to remove yourself, you can call the issuer and request removal. This does not close the account; it only removes your access and your name from the card. The account stays open under the primary cardholder's name.
What to do with the physical card
After closure is confirmed, cut up the card or shred it. Do not throw it in the trash whole, as the account number and expiration date are visible. Some people prefer to wait for written confirmation before destroying the card, in case they need the account number for a dispute or to verify the closure.
If you close the card but the issuer continues to send statements or charge fees, contact them again and provide the closure confirmation number or date. Errors happen; a second call usually resolves it quickly.
Closing a card with a remaining balance
You can close a card with an unpaid balance, but the issuer may not allow it. Most will ask you to pay the balance first or set up a payment plan. If they do allow closure with a balance, you will continue to receive statements and pay interest until the balance is gone.
Paying off the balance before closure is simpler and avoids ongoing interest charges. If you cannot pay it all at once, ask about a payment plan or transfer the balance to another card with a lower rate, then close the original card once it reaches zero.
Frequently Asked Questions
Will closing a credit card hurt my credit score?
Closing a card can lower your score temporarily because it reduces your available credit and raises your utilization ratio. The impact is usually 10 to 50 points and fades within a few months. The effect is smaller if you have multiple open accounts and low balances on the cards you keep.
How long does it take to close a credit card?
The call itself takes 5 to 10 minutes, but the account may take 7 to 10 business days to fully close. Some issuers close when ready; others process closures in batches. Your written confirmation should state the effective date. The account will appear on your credit report as closed for seven to ten years.
Can I reopen a credit card after I close it?
Most issuers will reopen a recently closed account if you call within 30 to 60 days. After that, reopening is harder and may require a new process. If you think you might want the card back, wait a few months before closing, or keep it open but unused instead.
What if the issuer won't let me close the account?
Issuers rarely refuse closure, but if yours does, ask to speak to a supervisor and state that you are requesting closure under your consumer rights. If the problem persists, file a complaint with the Consumer Financial Protection Bureau (CFPB). You have the right to close any account you own.
Should I close old cards or new cards first?
Close newer cards first if you must close one. Older accounts help your credit score because they show a longer history of responsible credit use. Closing your oldest account removes that benefit and can lower your score more than closing a newer one.