Thinking of Saying Goodbye to Your Southwest Airlines Credit Card? Here's Your Comprehensive Guide!
Are you considering canceling your Southwest Airlines credit card? Perhaps the annual fee no longer justifies the benefits, or your travel habits have changed. Whatever your reason, navigating the cancellation process requires a bit of planning to ensure a smooth transition and avoid any unexpected hitches. Ready to take the first step towards managing your credit card portfolio more effectively? Let's dive in!
Canceling a credit card, especially a co-branded one like the Southwest Airlines card issued by Chase, involves more than just a quick call. You'll want to be strategic to minimize any potential impact on your credit score and maximize the value of your accumulated rewards.
Step 1: Evaluate Your Reasons and Understand the Implications
Before you pick up the phone, take a moment to really think about why you want to cancel. Is it the annual fee? Are you simply not flying Southwest as much as you used to? Understanding your motivations will help you decide if cancellation is the best path or if other options might be more suitable.
1.1 Consider the Impact on Your Credit Score
Closing a credit card can affect your credit score in a couple of ways:
Credit Utilization Ratio: This is the amount of credit you're using compared to your total available credit. When you close a card, your total available credit decreases. If you carry balances on other cards, your utilization ratio will likely increase, which can negatively impact your score. Ideally, you want your credit utilization to be 30% or lower.
Length of Credit History: The age of your credit accounts contributes to your credit score. Closing an older account can shorten your average credit history, potentially lowering your score. While accounts in good standing generally remain on your credit report for up to 10 years, the positive impact on your average age may diminish over time.
1.2 Review Your Card's Annual Fee
Southwest credit cards often come with annual fees. If you're close to your card's anniversary date, you might be charged the annual fee before you cancel. Chase typically refunds the annual fee if you cancel within 30 days of it posting to your account. If it's outside this window, you might be out of luck for that year's fee.
1.3 Explore Alternatives to Cancellation
Sometimes, cancellation isn't the only answer. Consider these options:
Product Change/Downgrade: You might be able to downgrade your Southwest credit card to a no-annual-fee Chase card. This allows you to keep your credit history intact while avoiding the annual fee. You might lose some of the specific Southwest benefits, but it's a good way to preserve your credit score. You would need to call Chase to inquire about eligible product changes.
Retention Offer: If the annual fee is your primary concern, call Chase and inquire if they have any retention offers available. They might offer bonus points, a statement credit, or even a reduced annual fee to keep you as a customer.
Step 2: Redeem Your Rapid Rewards Points and Use Any Remaining Benefits
This is a critical step! Do not cancel your card before ensuring you've maximized your points and benefits.
2.1 Redeem Your Rapid Rewards Points
Your Southwest Rapid Rewards points are tied to your Rapid Rewards account, not directly to your credit card. This means your points generally won't be forfeited when you cancel your Southwest credit card because they are already transferred to your Rapid Rewards loyalty account. However, it's always a good idea to confirm your points balance and consider redeeming them for flights, gift cards, merchandise, or other available options on Southwest's "More Rewards" platform before you close the account. You can check your points balance by logging into your Southwest Rapid Rewards account on Southwest.com.
2.2 Utilize Any Remaining Card Benefits
Check your card's benefits guide for any unused perks. This could include:
Annual travel credits: Some cards offer a statement credit for Southwest purchases.
EarlyBird Check-In or Upgraded Boardings: If your card offers these, use them up!
Companion Pass qualifying points: If you were working towards a Companion Pass, understand how cancellation might impact your progress. While points earned from card spend usually count, ensure you're aware of the requirements.
Travel or purchase protections: These benefits typically end once the card is closed.
Step 3: Pay Off Your Entire Balance
This step is non-negotiable. You must pay off your entire outstanding balance before canceling your credit card.
3.1 Avoid Accruing More Interest and Fees
Even if you close the account, any remaining balance will continue to accrue interest and may incur late fees if not paid. It's best to clear it completely to avoid any headaches.
3.2 Ensure All Pending Transactions Clear
Make sure there are no pending transactions on your card. These could throw a wrench in your cancellation plans. Wait a few days after your last purchase to ensure everything has posted to your account.
Step 4: Disconnect Automatic Payments and Subscriptions
In today's digital world, many services are linked to credit cards for automatic payments.
4.1 Update Your Payment Information
Go through all your monthly subscriptions, online shopping accounts, and utility bills. Make a list of everything linked to your Southwest Airlines credit card and update the payment information with a different card or method. Forgetting this step can lead to missed payments and potential service interruptions.
4.2 Verify Changes
After updating, double-check that the new payment information is active and correct to prevent any accidental charges to your soon-to-be-canceled card.
Step 5: Contact Chase to Cancel Your Card
Now that you've prepared, it's time to make the call. Remember, Southwest Airlines credit cards are issued by Chase, so you'll be contacting Chase directly.
5.1 Call the Customer Service Number
The most common and effective way to cancel is by phone. Call the customer service number located on the back of your credit card. If you don't have your card handy, you can find Chase's general customer service number for credit cards on their website. For Chase, the number is often 1-800-432-3117.
5.2 Be Prepared for Retention Offers
When you state your intention to cancel, the representative will likely try to offer you incentives to keep your account open. This is called a "retention offer." Be polite but firm if you're set on canceling. You can say something like, "Thank you for the offer, but I've decided to close this account."
5.3 Confirm Your Account is Closed
Once you've made your request, confirm with the representative that the account will be fully closed and that you will receive written confirmation of the closure. Ask for a confirmation number for your records.
5.4 Secure Message Option (Less Common for Immediate Closure)
While some users have reported success with canceling via secure message through their Chase online account, a phone call is generally recommended for immediate closure and to discuss any final details or retention offers. If you choose the secure message route, be prepared for a slightly slower process.
Step 6: Follow Up and Securely Destroy Your Card
Your final steps ensure everything is properly handled and your personal information remains secure.
6.1 Check Your Credit Report
Approximately 30 to 45 days after cancellation, check your credit report (you can get a free report annually from AnnualCreditReport.com). Verify that the account is indeed listed as "closed by consumer" and that there is no remaining balance.
6.2 Securely Destroy Your Physical Card
Once you're certain the account is closed, shred your credit card using a cross-cut shredder, or cut it into multiple pieces, paying special attention to the magnetic stripe and the chip. Do not just throw it in the trash.
Frequently Asked Questions (FAQs)
How to Check My Southwest Airlines Credit Card Balance?
You can check your Southwest Airlines credit card balance by logging into your Chase online banking account or by calling the customer service number on the back of your card.
How to Find My Rapid Rewards Points Balance After Cancellation?
Your Rapid Rewards points are held in your Southwest Rapid Rewards account. You can log into your Rapid Rewards account on Southwest.com to view your balance; they are generally not affected by credit card cancellation.
How to Avoid a Negative Impact on My Credit Score When Canceling?
To minimize negative impact, pay off all balances on other cards to lower your credit utilization, and consider a product change/downgrade instead of outright cancellation, especially for older accounts.
How to Get a Refund for My Annual Fee After Canceling My Southwest Credit Card?
Chase generally offers a refund for the annual fee if you cancel your card within 30 days of the fee posting to your account. Call Chase customer service to inquire.
How to Know if I Have Any Outstanding Charges Before Canceling?
Log into your Chase online account and review your recent transactions to ensure all purchases have posted and no pending charges remain. It's wise to wait a few days after your last use.
How to Downgrade My Southwest Credit Card Instead of Canceling?
Call Chase customer service (the number on the back of your card) and ask about product change options to a no-annual-fee Chase credit card.
How to Transfer My Rapid Rewards Points Before Canceling My Card?
Your Rapid Rewards points are already in your Rapid Rewards account and do not need to be transferred. They are not tied to the credit card itself.
How to Use Up My Remaining Southwest Credit Card Benefits?
Review your card's benefits guide or log into your Chase account to see if you have any unused travel credits, EarlyBird Check-Ins, or other perks that you can utilize before cancellation.
How to Contact Chase Customer Service for Southwest Credit Card Cancellation?
You can reach Chase customer service for your Southwest credit card by calling the number on the back of your card, or by calling Chase's general credit card customer service line, often 1-800-432-3117.
How to Confirm My Southwest Airlines Credit Card Has Been Successfully Canceled?
After your phone call, ask for a confirmation number. Then, check your credit report in 30-45 days to verify the account is listed as closed and that no outstanding balance remains.
