So, you want to know how to close a credit card? Don't worry — it's easier than you think! With a simple call or click of a button, your problem is solved.

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However, to know how to close a credit card safely, there are a few things you have to do before you make that call. Otherwise, you might end up wasting your time.

Step 1: Redeem your rewards

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You worked hard to earn those points — don't let them go to waste! Once you close your account, you can kiss those rewards goodbye. Who knows? You might have enough points to earn some extra cash, tickets to a show, or a weekend getaway.

A man is putting money in his wallet. His two credit cards are showing.. Photo by Emil Kalibradov on Unsplash

Just log in to your online account or contact your bank to see if you have anything to redeem. But watch out for any fine print or requirements you need to meet before getting your rewards.

In the end, if you don't use it, you'll lose it — so make sure to check!

Step 2: Pay off the debt!

Think you can get rid of your debt by canceling your credit card — well, think again!

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Before you can even think about canceling your card make sure you paid everything off. If you still have a balance, your request may be denied — or the bank may add additional fees or charges. After all, the bank wants its money!

Once your debt is paid and your balance reads zero, the bank can no longer stop you!

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Step 3: Update your subscriptions and recurring payments

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Before cancelling your credit card, make sure you switch your subscription and recurring payments to a different card or cancel them altogether. Once you cancel your card, that account is gone!

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Failing to update your payments could lead to trouble or even penalties for "non-payment".

That means, in addition to missing out on Netflix or Spotify, your electricity, gas, or internet, could be shut off if they're on a recurring payment schedule — not to mention other things like rent, car insurance, mortgage payments, and student loans could also be affected.

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Even if it's annoying, take the time to update your payment information so you can avoid fees or service interruptions.

Step 4: "Break up" with the bank

Well, you've redeemed your rewards, paid off your card, and (hopefully) canceled or switched your subscriptions and all recurring payments to a different card.

Now it's time to finally tell the bank you're interested in seeing other cards. It's not you it's them, or just simply say...

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How to close a credit card in different ways:

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  • Log in to your online banking account and search for the option to cancel your card.

  • Note: Not all banks will allow you to cancel online.

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  • Call the customer service number located on the back of your card and request to speak to a representative. (Sometimes pressing "0" lets you bypass automated messages.)

  • Note: Be prepared! The representative may try to offer you deals to stop you from canceling.

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Writing

  • Some banks may require a written request instead. If so, don't feel like you have to go into details on why you want to cancel. Just keep it short and sweet.

  • Note: Check the bank's website or call them directly to find out specific requirements.

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Tip

You never have to go into details on why you're canceling. A simple "I'm no longer interested," or "I no longer need it," is good enough!

Quiz

Lucas is about to cancel his credit card but has a question about his account. Luckily, his bank offers multiple ways to cancel, which is great since he hates talking on the phone. What is the best cancellation option for Lucas?

Bonus Step: After you cancel your card, write to the bank!

Your cancellation request was approved, your card was canceled...so why bother writing?

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While it's not really required, it's good practice. Writing a confirmation letter gives you protection in case the bank fails to close your account and still expects payments. If that happens, you have proof!

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However, if you don't feel up to contacting the bank (yet again), that's okay too. Just make sure to keep an eye on your credit report. If after a week or so, your credit report doesn't show that your card has been canceled, contact the bank.

Take Action

A man is holding up his credit card. He is about to burn it with a lighter.

Say bye-bye and cut up that old card!

Now you know how to close a credit card:

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