When deciding to cancel your credit card, an especially important issue is to know in advance what are the necessary steps to cancel or cancel your card correctly and without complications.
Whatever the reason, such as theft, loss of the card, or simply because you do not want to have more plastic, you should keep in mind that many financial institutions usually require a series of requirements that must be met before requesting the cancellation of your card, and in this way avoid surcharges to your card, and even liens.
As we mentioned before, there are a series of steps to cancel the card, and the first thing we must do is make sure to pay the balance that we have pending on our card when deciding to cancel it. No matter how small the balance, we must ensure that this payment, because if you start the process before the bank can raise the interest to the maximum allowed or run your balance as default and even take legal action.
Second, you must stop using the card permanently.
While you are canceling the outstanding balance of your card, you should not use it. Otherwise, you will never be able to settle the amount owed fully, and you will not be able to cancel it.
Once you have completed the two previous steps, you should contact your card issuer to communicate your intention to cancel the card. This notification can be done verbally, by mail, or by telephone call to the bank. Still, it is always convenient that the procedure is settled in a letter sent by postal mail that includes all your data. In this way, we will avoid misunderstandings since we will have a voucher physical of said communication.
Finally, you will have to confirm that your card’s outstanding balance is zero, for which you could expect the account statement to arrive at your address to see the cancellation of the card reflected or go to the bank to obtain a certificate confirming said card. Cancellation, and carry your card so that in their presence, they proceed to the destruction of it.
For your convenience, you can use the telephones to contact to inform about the cancellation of your credit card.
It should be noted that it is advisable to keep a copy of the contract of the card. Before starting the cancellation, we recommend you read it carefully to know what it says about it because, as we mentioned, some cards require a previous announcement of several weeks or contemplate commissions for cancellation.
In this sense, our legislation contemplates the cancellation or blocking of the card by the entity that issued the card. Law 26/1984, introduced by Law 7/1998, establishes that any parties can terminate the contract unilaterally in contracts of indefinite duration. The client is notified in advance not to cause harm and is derived from a cause duly justified and objective.
Why cancel the credit card?
The reasons why we can (and even should) cancel a credit card (in addition to after a theft or a loss) are many, but respond to two fundamental criteria, a change in the use of cards that leads us to use other products, the change and the output of products linked to the card, which, when they are no longer used, also entail the suspension of the card.
In any case, it is imperative to bear in mind that the cancellation of the card is something fundamental if we wish to have no problems in the future, we must remember that a card does not cancel the card, even if it is unused, it remains fully operational, so can be susceptible to receive charges, and of course to be used, even more, if it is a card with annual maintenance fees will continue to generate and therefore continue to present a cost.
This is tremendously important in the case of linked cards since many of them present free the first year, but the subsequent ones already apply maintenance fees.
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