Closing an American Express account is a significant financial decision that requires careful consideration. It's not just about cutting up a card; it involves understanding potential impacts on your credit score, managing outstanding balances, and redeeming any valuable rewards you've accumulated. This comprehensive guide will walk you through the process step-by-step, ensuring you're well-prepared for a smooth closure.
Step 1: Evaluate Your Reasons and Potential Impacts
Before you even think about calling American Express, let's take a moment to understand why you're considering closing your account and what the potential repercussions might be. This is a crucial first step, as closing an account isn't always the best solution.
Sub-heading: Why Are You Closing It?
Are you closing your Amex account because of:
High annual fees? Perhaps there's a different Amex card with lower or no annual fees that better suits your needs, or even a product change option.
Too many credit cards? Consolidating your cards can simplify your finances, but ensure you're keeping your oldest and most impactful accounts open.
Dissatisfaction with rewards or benefits? Amex offers a wide range of cards. You might find another Amex card within their portfolio that aligns better with your spending habits and desired perks.
Financial difficulty? If you're struggling with debt, closing an account might seem like a quick fix, but it's important to have a plan to manage any outstanding balance.
Sub-heading: The Credit Score Impact – Don't Overlook This!
Closing a credit card can have a temporary negative impact on your credit score. Here's why:
Reduced Available Credit: When you close an account, your overall available credit decreases. If your balances on other cards remain the same, your credit utilization ratio (the amount of credit you're using compared to your total available credit) will increase. A higher utilization ratio can signal higher risk to lenders, potentially lowering your score.
Shorter Credit History: The length of your credit history is a significant factor in your credit score. Closing an old, well-maintained account can shorten your average credit age, which might negatively affect your score, especially if it was one of your oldest accounts. Accounts in good standing can remain on your credit report for up to 10 years, but the positive impact of an active, old account diminishes once it's closed.
Fewer Credit Mix Types: Lenders like to see a healthy mix of credit accounts (e.g., revolving credit like credit cards and installment loans like mortgages). Closing a credit card might impact your credit mix.
Consider alternatives: If the annual fee is the main concern, you can sometimes downgrade your card to a no-annual-fee version or a different card with lower fees while keeping your account history intact. This is often a better option for your credit score.
Step 2: Clear Your Account & Redeem Rewards ✨
Before initiating the closure, it's absolutely critical to settle your affairs with American Express. You don't want any loose ends!
Sub-heading: Pay Off Your Balance in Full
American Express generally requires you to have a zero balance before they will close your account.
Make sure all outstanding charges, including any recent transactions that haven't posted yet, are paid off.
Even if you close the account, any remaining balance will still be due, and interest will continue to accrue. It's best to pay it off completely beforehand to simplify the process.
Sub-heading: Redeem Your Membership Rewards Points (or Transfer Them!)
This is extremely important. If you have Membership Rewards points, redeem them or transfer them before you close your account.
Most American Express rewards programs state that points will be forfeited if the associated account is closed.
Check your points balance: Log in to your Amex online account or the Amex app to see how many points you have.
Redemption options:
Travel: Book flights, hotels, or use points for eligible travel expenses.
Cash Back/Statement Credit: While often not the best value, this is a quick way to use points.
Gift Cards: Redeem for gift cards to your favorite retailers.
Transfer Partners: This is often where you get the most value! Transfer your points to airline or hotel loyalty programs (e.g., Delta SkyMiles, Marriott Bonvoy).
Important Note: If you have another American Express card that earns Membership Rewards points, you might be able to retain your points balance by simply keeping that other card open. Confirm this with American Express before closing your account. You typically have 30 days from the account closing date to redeem your points if you don't have another eligible card.
Sub-heading: Cancel Recurring Payments ️
Don't forget any automatic payments or subscriptions linked to your American Express card.
Review your statements for the last few months to identify any recurring charges.
Update these payment methods with a different card before you close your Amex account to avoid missed payments or service interruptions.
Step 3: Contact American Express ✉️
Once you've cleared your balance and redeemed your rewards, it's time to contact American Express to formally close your account. There are typically a few ways to do this.
Sub-heading: The Easiest Way: Call Customer Service ️
This is generally the most straightforward and recommended method. You can speak directly to a representative and get immediate confirmation.
Find the number: The customer service number is usually on the back of your physical American Express card. You can also find it on the Amex website under "Customer Service" or "Contact Us."
For US-based accounts, the general customer service number is often 1-800-528-4800, but it's best to use the number specific to your card type if listed.
If you're outside the US, you can often call collect at 1-336-393-1111.
Be prepared: Have your card number and personal identification details (like your Social Security Number, address, etc.) ready for verification.
State your intention clearly: Inform the representative that you wish to close your account.
Be prepared for retention offers: American Express agents are often trained to offer incentives to keep you as a customer. They might offer statement credits, bonus points, or a product change to a different card. Consider these offers carefully if they address your initial reasons for closing the account.
Confirm everything:
Ask for a confirmation number for the account closure.
Ask when the account will officially be closed and when you can expect a final statement.
Inquire about any remaining balance (even if you think it's zero) and how it will be handled.
Ask about the refund of any annual fee if you're closing the account shortly after it posted (often within 30 days of the fee being charged, Amex will refund it).
Sub-heading: Online Chat (if available)
Some users report success closing accounts via the online chat feature once logged into their Amex account.
Log in to your account at AmericanExpress.com.
Look for a "chat" button or icon, usually in the bottom right-hand corner of the screen.
Initiate a chat and inform the representative you want to close your account.
Be ready to verify your identity.
Always request a transcript of the chat for your records.
Sub-heading: Sending a Letter (Less Common, But an Option) ✉️
While less common for credit card closures these days, you can also send a letter to American Express. This method is slower and less immediate.
Include all necessary information: Your full name, address, account number, and a clear statement requesting to close your account.
Mail it to: American Express PO Box 981535 El Paso, TX 79998
It's highly recommended to send this via certified mail with a return receipt requested so you have proof of delivery.
Step 4: Secure Your Account & Monitor Your Credit
After you've initiated the closure, there are a few final steps to ensure everything is handled correctly and to protect your financial health.
Sub-heading: Securely Destroy Your Card ✂️
Once your account is confirmed closed, it's time to safely dispose of your physical card.
Cut the card diagonally, specifically through the magnetic stripe and the chip, into several pieces.
This prevents unauthorized use of the card details.
Sub-heading: Monitor Your Final Statement
You'll likely receive one last statement from American Express, showing a zero balance (or any final payments due).
Review it carefully to ensure all charges are processed and the balance is indeed zero.
Keep this final statement for your records.
Sub-heading: Check Your Credit Report
It's a good practice to monitor your credit report in the months following the account closure.
Closed accounts in good standing typically remain on your credit report for up to 10 years.
Ensure that the account is reported as "closed by grantor" or "closed by consumer in good standing" and that there are no unexpected negative marks.
You can get a free copy of your credit report from each of the three major credit bureaus (Equifax, Experian, TransUnion) annually at AnnualCreditReport.com. It may take up to 3 months for the closure to reflect on your credit report.
Frequently Asked Questions (FAQs)
How to Check My American Express Balance Before Closing?
You can check your balance by logging into your American Express online account, using the Amex mobile app, or by calling the customer service number on the back of your card.
How to Redeem American Express Membership Rewards Points?
Log in to your Amex online account, navigate to the "Membership Rewards" section, and choose your preferred redemption option (travel, cash back, gift cards, or transfer to partners).
How to Find the American Express Customer Service Number?
The primary customer service number is usually printed on the back of your American Express card. You can also find it on the American Express website under the "Customer Service" or "Contact Us" sections.
How to Ensure My Account is Fully Closed?
After speaking with a representative, request a confirmation number for the closure. Monitor your final statement for a zero balance and check your credit report in the following months to confirm the account is reported as closed.
How to Handle Annual Fees if I Close My Card Soon After It Posts?
American Express typically offers a refund of the annual fee if you close your account within 30 days of the fee being charged. Confirm this policy when you call to close your account.
How to Avoid a Credit Score Drop When Closing a Card?
While some temporary impact is possible, try to keep your oldest accounts open, maintain a low credit utilization ratio on your remaining cards, and consider a product change to a no-annual-fee card instead of outright closure.
How to Reopen a Closed American Express Account?
In most cases, you cannot simply "reopen" a closed account. You would likely need to apply for a new card, which would involve a new credit check and a new account opening.
How to Pay Off a Remaining Balance on a Closed Amex Account?
If a small balance remains after closure, American Express will send you a final statement with payment instructions. You'll still be obligated to pay it off, and interest may continue to accrue until it's settled.
How to Manage Recurring Payments Linked to My Amex Card?
Before closing, review past statements to identify all recurring charges. Contact each service provider to update your payment method to a different card to avoid service interruptions.
How to Get Proof of Account Closure from American Express?
During your call with customer service, ask for a confirmation number for the closure. You can also ask for a confirmation letter to be mailed to you, though this might not always be standard practice.
