You should consider canceling your credit card if you rarely use your credit card while attracting a high annual fee. However, you must keep in mind that canceling a card may also impact your credit score temporarily.
Above all, if you are an SBI Credit Card user, this guide should help you to permanently cancel a credit card account with the issuer. Let’s dive in!
SBI Credit Card
Millions of Indians are served by the State Bank of India (SBI). It offers a good range of bank services in addition to its broad reach.
SBI credit cards are one of its offerings; they are divided into sections for business, travel & fuel, reward, shopping, lifestyle, and rewards. The types of credit cards vary depending on the needs of the customer.
The quickest and easiest method to cancel an SBI credit card is to call the bank’s customer service number and request that the card be canceled.
The customer service number is listed on the reverse of your SBI credit card. To request cancellation, you will need to provide the necessary identification information, such as your credit card number and birthdate.
As an alternative, you could send an email or SMS to the customer support desk asking for assistance with the cancellation. The bank’s website has a list of all the contact information.
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How to Close or Cancel an SBI Credit Card?
The following procedures can be used by SBI credit cardholders to close or cancel their credit cards:
By calling the Helpline number: SBI credit cardholders can use the local STD code as a prefix to call the toll-free number, 1860-180-1290, or 39-02-02-02, to close or cancel their credit card account.
Submitting a written request to SBI at SBI Card, PO-Bag 28, GPO, New Delhi-1110001, asking for the credit card to be closed.
The name, address, credit card number, and phone number of the cardholder must be mentioned. They should not divulge private information such as the PIN or CVV of the card.
The cardholder may cut the relevant card diagonally after starting the process of closing or canceling the credit card.
All available add-on cards will automatically be canceled when the bank cancels the primary cards at the cardholder’s request.
Things to Note Before You Cancel Your SBI Credit Card
Although canceling or closing a credit card is always an option for the cardholder, there are certain things that must be taken into consideration before beginning the process. Here is a checklist that should be followed:
- Ensure any outstanding dues are paid: If the credit card in question has any outstanding balance, the bank will notify the cardholder via letter. Only after the outstanding balance has been cleared will the cancellation process begin. According to SBI, cardholders must settle all outstanding balances and EMIs on the card before attempting to cancel or close it.
- Redeem any unused reward points: Before canceling or closing an SBI credit card, the cardholder should check if there are any unused reward points that can be redeemed for products from the bank’s rewards catalog or for discounts. Unused reward points can be redeemed within 45 days after the card is canceled.
- Do not use the card before canceling it: It is not advisable to use the card just before initiating the cancellation process as it may generate a payment status that needs to be paid. Additionally, the bank will not entertain a cancellation request if there is a new payment pending.
- Thoroughly check the final account statement: The cardholder should carefully review the final account statement of the card they wish to cancel to ensure that there are no fraudulent transactions.
What Happens After Cancelling SBI Credit Card?
After canceling an SBI credit card, the customers may face the following consequences:
- Lowered Credit Score: Closing a credit card account can have negative consequences on a customer’s credit score. This is because it reduces their overall credit limit and increases their credit utilization ratio, which is the ratio of their credit limit to their credit usage. A credit utilization ratio that exceeds 30% of the credit limit can lead to a lower credit score.
- No more credit History: If a customer cancels their only line of credit by closing a credit card, this can result in a shorter credit history. Additionally, credit bureaus will no longer be able to observe their financial behavior, which may result in a decrease in their credit score.
Frequently Asked Questions
How can I close my SBI credit card?
SBI credit card users have two options if they want to cancel their card. They can either contact the customer care number or send a written request to the official SBI credit card customer care address.
Can I close my SBI credit card online?
Closing SBI credit cards online is not an option for customers, as they have to contact the customer care department to request cancellation. The customer care number and SBI customer care are the two ways to do this.
How will I be notified by the bank if I fail to clear my due payments before initiating cancellation?
Before initiating the closure process of their credit card, customers are required to settle any outstanding balances. If customers have any unpaid dues, they will not be able to terminate their credit card.
Is SBI credit card free?
The SBI credit card fees vary based on the type of credit card. In order to avoid incurring fees, certain credit cards have minimum spending requirements that must be met within the fiscal year.
Is the credit card rendered useless after the account is closed?
Post-closure, the card becomes invalid, but there is a possibility that the bank may permit its reactivation.
When will my account be considered closed?
After closing an account, the Bank will provide a written confirmation. In addition, the closure of a credit card account will be reflected on the credit report.
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- How to Activate Axis Bank Credit Card: Full Guide
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- How to Increase Credit Card Limit: Full Guide
Take Home
Maintaining credit cards can be challenging for some cardholders, even though they are one of the most practical financial products available.
There are instances where they might consider switching to another card. In such cases, it is important to close or cancel the credit card that is no longer required.
This process is straightforward and helps the cardholder avoid paying unnecessary fees.
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