You may have plenty of credit cards, or just a couple. What if you decide it is time to close one of your cards?
Before you do, here are some important tips for closing a credit card.
It should not be one of your oldest three cards
If you need to close a credit card, make sure it’s not one of your oldest three cards. Closing one of your oldest three cards can hurt your credit.
You may have not recently gotten a welcome offer on the card
You should not be closing a credit card within 12 months of receiving a welcome offer on the card. Doing so can get you blacklisted by that bank.
Try to get a retention offer
When you tell a bank that you want to close a credit card you have from them, they may offer a retention offer. It may be worth it for you to accept a retention offer and then close the card.
Transfer or redeem your points
Don’t close your credit card before you either transfer the points you have earned on the card to another credit card from the same bank, or redeem the points. Don’t close the card without doing so or you will your points!