Guide to Destroying a Metal Credit Card
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Editor’s note: Lantern by SoFi seeks to provide content that is objective, independent and accurate. Writers are separate from our business operation and do not receive direct compensation from advertisers or partners. Read more about our Editorial Guidelines and How We Make Money.
Why Destroy a Metal Credit Card?
Factors to Consider Before Destroying a Credit Card
Your credit It can be a good idea to keep unused credit card accounts open so that you benefit from a longer average credit history and a larger amount of available credit. Credit scoring models typically reward you for having long-standing credit accounts, and for using only a small portion of your available credit limit. Your rewards If you have a rewards card, you will likely lose the cash back, points, or miles you’ve accumulated in your account once it's closed. You may want to read the terms of your card to see if there is a grace period during which you can still redeem rewards or if it’s possible to transfer the rewards to another card before canceling it. The card's balance It’s possible to cancel a card that still has a credit card balance. However, you still need to pay that balance in full, or it will continue to accrue interest even if the account is closed. If changing cards is the right move If you’re thinking about closing an account because of its annual fee or rewards setup, it may be worth calling the card issuer to see if you can switch to a card with different terms. This way, you can avoid closing an account and potentially impacting your credit. Automatic payments If you’ve set up automatic payments through the card you are about to destroy, remember to switch those accounts to your new credit card.
Ways to Get Rid of a Metal Credit Card
Send It Back to Your Credit Card Issuer
Return It to a Physical Bank Branch
Destroy It on Your Own
Stow It Away
What Not to Do With a Metal Credit Card
Don’t Give It to Third-Party Services
Don’t Toss it in the Garbage
Don’t put it in a Shredder
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