So, you've decided it's time to part ways with your American Express credit card? Whether you're decluttering your wallet, consolidating debt, or simply not using the card anymore, closing a credit card, especially one from a major issuer like American Express, requires a careful approach. Don't worry, I'm here to guide you through every step of the process to ensure a smooth and hassle-free closure. Let's get started!
Step 1: Before You Call: The Essential Pre-Closure Checklist
Before you even think about picking up the phone or logging into your account, there are a few critical things you need to address. Skipping these steps could lead to unexpected headaches down the line. Let's make sure you're fully prepared!
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| How Do I Close My American Express Credit Card |
1A: Redeem Those Rewards!
First things first, what about all those hard-earned Membership Rewards points, airline miles, or cashback? This is crucial! Once your account is closed, you generally forfeit any unredeemed rewards. Check your statement or log into your Amex online account to see your current balance.
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Action: Redeem all your points or cashback. Transfer them to a partner program, use them for a statement credit, or purchase gift cards. Don't leave any value on the table!
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Pro Tip: Some Amex cards might allow you to keep your points if you have another Amex card open that earns Membership Rewards. Call Amex to confirm if this applies to your specific situation.
1B: Clear Your Balance (Completely!)
You can't close a credit card with an outstanding balance. Make sure your account balance is zero. This includes any pending transactions that might not have posted yet.
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Action: Pay off your entire balance, including any recent purchases. Consider making an extra payment to be absolutely sure.
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Important: Wait a few days after your final payment for it to fully process and for the balance to reflect as $0. Trying to close an account with a pending payment can complicate things.
1C: Cancel Automatic Payments and Subscriptions
Many of us link credit cards to recurring payments like streaming services, gym memberships, or utility bills. Forgetting to update these can lead to missed payments and potential service interruptions.
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Action: Go through your recent statements and make a list of all recurring charges. Update your payment information with a different card or bank account before closing your Amex card.
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Recommendation: Set a reminder to double-check these a month or two after closing your card, just in case you missed anything.
1D: Download Your Statements
It's always a good idea to have a record of your financial history. While you might be able to access past statements online for a period after closure, it's safer to download them.
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Action: Log into your Amex online account and download at least the last 12-24 months of statements for your records. Save them in a secure location.
Tip: Break long posts into short reading sessions.
Step 2: Making the Call: Contacting American Express
Once you've completed all the pre-closure steps, it's time to contact American Express directly. You cannot close an Amex card online.
2A: Find the Right Number
Look for the customer service number on the back of your credit card or on your monthly statement. It's usually a 1-800 number.
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Action: Dial the customer service number. Be prepared for automated menus.
2B: Speak to a Representative ️
Navigate the automated system until you can speak to a live representative. You'll likely need to provide your card number or account details for verification.
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Action: Clearly state that you wish to close your credit card account.
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Be Prepared For: Retention offers. American Express, like other credit card companies, will often try to keep you as a customer. They might offer incentives like a lower interest rate, a waived annual fee for a year, or bonus points. Consider if these offers are compelling enough to change your mind. If not, politely decline.
2C: Confirm Closure and Request Confirmation ✅
Once you've told the representative you want to close your account, they will process the request.
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Action: Ask the representative to confirm that the account is closed.
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Crucial Step: Request a confirmation number for the closure. This is your proof that the action was taken. Also, ask if a written confirmation will be mailed or emailed to you.
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Additionally: Ask about any prorated annual fees. If you recently paid an annual fee and are closing the card shortly after, you might be eligible for a partial refund. Inquire about this during the call.
Step 3: The Aftermath: What Happens Next?
Closing a credit card isn't an instantaneous event that disappears from your financial life. There are a few things to monitor in the weeks and months following the closure.
3A: Destroy Your Card ✂️
Tip: Revisit this page tomorrow to reinforce memory.
Once the account is confirmed closed, it's time to safely dispose of the physical card.
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Action: Cut up your physical card into multiple pieces, ensuring the chip and magnetic stripe are destroyed, as well as your account number and security code.
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Safety First: This prevents any unauthorized use of the card, even if the account is closed.
3B: Monitor Your Credit Report
Closing a credit card can have an impact on your credit score, both positively and negatively, depending on various factors.
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Action: In about 30-60 days, check your credit report (from all three major bureaus: Experian, Equifax, and TransUnion) to ensure the account is reported as "closed by grantor" or "closed by consumer" with a zero balance.
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What to Look For:
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Credit Utilization: If this was one of your oldest or highest limit cards, closing it could increase your overall credit utilization ratio if you don't have other cards with sufficient available credit. A higher utilization can negatively impact your score.
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Average Age of Accounts: Closing an old card can decrease the average age of your credit accounts, which can also slightly lower your score.
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No Impact/Positive Impact: If it was a new card, a card with a low limit, or a card with a high annual fee you no longer wanted, the impact might be minimal or even positive if it helps you manage your finances better.
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3C: Watch for Final Statements ✉️
Even after closure, you might receive a final statement if there were any residual charges or credits.
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Action: Keep an eye out for any final statements or correspondence from American Express confirming the closure. Verify the balance is indeed $0.
Step 4: Important Considerations Before You Close
While we've covered the practical steps, let's briefly touch upon some strategic considerations before you finalize your decision.
4A: Impact on Your Credit Score
As mentioned earlier, closing a credit card can affect your credit score. Consider the following:
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Oldest Card: If this is your oldest credit card, it might be better to keep it open, even if you rarely use it, to maintain a longer credit history. You can simply make a small purchase every few months to keep it active.
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Credit Limit: If this card has a high credit limit and you don't have similar limits on other cards, closing it could significantly reduce your overall available credit, impacting your utilization ratio.
4B: Annual Fees vs. Benefits ⚖️
Are you closing the card because of a high annual fee? Re-evaluate if the benefits (rewards, travel perks, insurance) still justify the cost. Sometimes, the value outweighs the fee.
Tip: Check back if you skimmed too fast.
4C: Alternative Options ➡️
Before outright closing, consider these alternatives:
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Product Change: Can you downgrade your card to a no-annual-fee version within American Express? This preserves your credit history with the issuer and might save you money.
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Balance Transfer: If you're closing due to a high balance, consider a balance transfer to a new card with a 0% APR introductory offer, but only if you have a solid plan to pay it off.
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Frequently Asked Questions (FAQs)
How to check my American Express credit card balance before closing?
You can check your American Express credit card balance by logging into your online account on the Amex website or app, or by calling the customer service number on the back of your card.
How to redeem American Express Membership Rewards points?
To redeem Membership Rewards points, log into your Amex online account and navigate to the "Rewards" section. You'll find options for statement credits, travel bookings, gift cards, or transfers to partner loyalty programs.
How to find the American Express customer service number?
The American Express customer service number is typically printed on the back of your credit card. You can also find it on your monthly statements or by searching the official American Express website.
How to destroy my American Express credit card safely?
QuickTip: Slow scrolling helps comprehension.
To safely destroy your American Express credit card, cut it into multiple pieces, ensuring the magnetic stripe, chip, and your account number are thoroughly fragmented.
How to check my credit report after closing an American Express card?
You can check your credit report for free once a year from each of the three major credit bureaus (Experian, Equifax, TransUnion) at AnnualCreditReport.com.
How to avoid a negative impact on my credit score when closing a card?
To minimize negative impact, pay off the balance completely, keep your oldest accounts open if possible, and maintain a low credit utilization ratio on your remaining cards.
How to get a refund for a prorated annual fee from American Express?
When you call to close your card, ask the representative if you are eligible for a prorated refund of your annual fee. Eligibility often depends on how recently the fee was charged.
How to cancel automatic payments linked to my American Express card?
You must contact each merchant (e.g., streaming service, utility company) individually and update your payment information with a different credit card or bank account.
How to know if I have any pending transactions on my American Express card?
Pending transactions are usually visible in your online American Express account. They will typically appear before they are fully posted to your statement.
How to get confirmation that my American Express card is closed?
When you call to close your card, ask the representative for a confirmation number for the closure. You can also request a written confirmation be sent to you via mail or email.
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