Credit Card: If you were using a credit card for a long time but now want to stop using it, then there is an important information for you. Before closing the credit card, you must keep some things in mind.
Let us tell you about them.
Use reward points
In a hurry to close the credit card, you should not forget to redeem reward points. Take advantage of the reward points you have earned after paying bills or other expenses. Only after this, request to close the card. In this way you will get a great benefit and your reward points will not go waste.
Payment of all bills is important
If you were using your credit card for a long time, then you should pay all its dues before closing your credit card. If you do not make the full payment, then your credit card cannot be closed.
Do not forget to stop auto payment
Apart from this, to close the credit card, you will have to inform the bank and you will also have to tell the bank about the reason for closing the credit card. Before applying to close the credit card, stop all the auto payments associated with it. Many times it happens that the credit card holder may have a membership of an online platform or other such platform, or they are also paying EMI and other bills from the card. These payments do not stop automatically after starting the process of closing the credit card.
The older the credit card, the more will be its contribution to the credit score. Therefore, always try to close new credit cards.
