How to Close a Credit Card Without Hurting Your Credit
Closing a credit card seems simple — but if done incorrectly, it can increase utilization, shorten your credit history or trigger avoidable fees. This guide explains the correct process.
Learn about credit score impactWhen It Makes Sense to Close a Credit Card
Closing a card is most common when an annual fee is no longer worth it, or when a card overlaps with others you already use. But closing too many cards at once — or the wrong card — can weaken your overall credit profile.
- Annual fee outweighs benefits.
- You have duplicate rewards cards.
- The card requires spend you don't want to maintain.
- You have migrated to a different rewards ecosystem.
How Closing a Card Affects Your Credit
Closing a card does not erase the account’s history, but it does affect two major factors:
- Utilization: Your total available credit shrinks, increasing your percentage used.
- Average age of accounts: Future applications may see you as “younger” financially.
Closed accounts usually remain on your report for years, contributing positive history if they were well-managed. But the loss of available credit can have an immediate score impact.
The Proper Steps to Close a Credit Card
- Bring the balance to zero. Issuers will not close a card with an active balance.
- Redeem rewards. Points may disappear once the account is closed.
- Download statements. Keep a personal archive for future reference.
- Check for pending charges. Subscriptions may reactivate a “closed” account.
- Call or secure-message the issuer. Request written confirmation.
- Monitor your credit report. Ensure the status updates correctly (“closed by customer”).
Related Account Lifecycle Topics
Part of The CreditCard Collection
Close.Creditcard is part of The CreditCard Collection by ronarn AS. Each minisite explains a single part of the credit card lifecycle — learning, applying, managing, improving and closing.
Nothing here is financial advice. Terms, regulations and issuer rules vary widely. Always read official terms before closing any account.
Thinking About Closing a Card?
Use Close.Creditcard as a checklist before you take action — then head over to Choose.Creditcard to explore alternatives that fit your profile better.
Go to Credit Score hub