Have you ever checked out the available rates on credit cards these days? It is no wonder that a lot of people are choosing to close out or cancel their credit card subscription and get another kind of loan instead. With the assumptive access to constant cash, it is too easy for an individual to get trapped in credit card debt snares. It is very wise for those who do not know how to curb spending on a credit card to cancel their credit cards today. The process to cancelling a credit card can be confusing for someone who does not know the basics and this is what this post seeks to address.
Pay off your balance
The first step to canceling your credit card is to pay off the existing balance on the card. Refusing to pay off your balance will prevent you from canceling the card. Choosing to stop using your credit card alone is not sufficient to cancel the card. It is an active process that begins with paying off all the existing balance.
Confirm the balance
Simply paying off the amount you still owe does not cancel out your credit card balance. Credit card companies often place special charges and residual interests on bills charged to borrowers. You should ensure that all such interests have been taken care of before you can be sure your credit balance is indeed zero.
Inform the credit company
Informing the credit company of your desire to close the account is a process that must be undergone with all seriousness. It is not enough for you to simply make a call to the company and inform them of your decision, you need to send a letter to them also. In this formal letter, you should state your desire to close your account and also request that they reply your letter with details (written) that confirm that the account has indeed been closed. Also, intimate that you want it noted on your credit score that you closed the account of your own volition and it was not the credit card issuer or company that closed it. This is to prevent your credit score from looking bad as it will if it looks as though your account was closed by the issuer due to non-payments on your part for instance.
Once this is done, you can be sure that your card has been closed.
NOTE: it is important during the entire process of cancelling your credit card, that you take note of everyone that you have spoken to, as well as all details of your conversations. The importance of keeping a record of this is in the unlikely event that anything goes wrong in the process. Many litigation cases have sprung up as a result of this. Even after you finish getting a letter from the company stating that your account has been closed, you should request for a credit report at least a month after to be sure that indeed it was closed.
A logbook loan is a better option than a credit card in many instances. Not only is it a lot simpler to access or process than a credit card, it also offers you better rates than a credit card, as you can still use the asset (the vehicle) you set as collateral during the entire time of the loan agreement. After canceling your credit card, why not get a logbook loan today from logbookloansonline.net.