What happens if you let a credit card expire?

Question

I don't want a certain credit card anymore and it is about to expire. Assuming the balance is paid off can I just let it expire? Or do I need to call and cancel it?

Answer 1

Before I knew better, I would cancel credit cards that I thought I no longer needed. Big mistake. With each cancellation my credit score got dinged. My history also suffered as some of the cards I cancelled were among the oldest.

Though an account in good standing continues to get reported even after cancellation, the best thing is to keep it open to help keep your score up.

But beware, though, that some companies will automatically reduce your limit if you do not use your card, which could also hurt your score. Using it from time to time and then paying it off may help forestall this possibility.

Answer 2

Call and cancel.  Otherwise they will send you a replacement card right before it expires.

Answer 3

They may send you a replacement card, so if you don't want the account anymore, I would cancel it.  That way, you know it will be closed.  Do so in writing.  

(Credit cards companies don't always automatically send replacement cards.  For example, if you haven't been an active card holder, they may not send you one.  There are other situations as well when a card may not  be renewed.)

Answer 4

The credit card company will automatically send you a new card about a month before the expiration date.  If you no longer want the credit card, send a letter (don't call) to cancel and request written confirmation that the account is closed and 0 balance.  Keep your letter and the confirmation forever.

Answer 5

The expiration date is their ability to not renew you.  If you have a desire to close the account you have to call them.

It will be a small point hit temporarily on your credit score, because most people don't close accounts, but it will rebound shortly.

Answer 6

Let it expire