Axis Bank credit card closure: 6 easy steps to follow for account termination | Mint

Despite the ease and rewards of credit cards, sometimes you may want to cancel one. Here, we will answer frequently asked concerns as well as advice to help make the process of cancelling your Axis Bank credit card easy.

What are credit cards?

You can use a credit card provided by a bank or some other financial organisation to withdraw money for purchases. That is essentially like a short-term loan. You have a statement every month indicating all your transactions and how much you owe, that you can pay in full or in part.

Common reasons to close a credit card

1. High interest rates: It may make sense financially to close a credit card because its fees or interest rate is too high.
2. Ease of personal finance: Maintaining personal finances may get easier by cutting off fewer cards.
3. No more over-spending: You’ll avoid unnecessary debt and ensure a budget when closing that card.
4. Changes financial goals: Your lifestyle or financial goals can change, so that’s why you no longer require that card.
5. Upgrading benefits: You risk being left behind if you leave an older card for one with better rewards or less expensive costs.

Things to remember while closing a credit card

1. Credit history: The length of time that you have had a credit card is a factor that determines your credit score. It may be worth your while to keep the credit card open if you have a long credit history and have paid all of your bills on time.

2. Credit utilisation ratio: The amount of credit available to you overall will be reduced by cancelling a card, which increases your credit utilisation ratio, or the percentage of your available credit that you are using. If that ratio increases, your credit score may suffer.

Does closing an Axis Bank credit card affect your credit score?

Indeed, credit card closing might affect your credit score. It can do the following:

• Your credit utilization rate must increase.
• Lower the average age of your credit accounts.

By knowing these effects, making an informed decision becomes easy.

How to close an Axis Bank credit card

1. Review your urgent need for cash: You must evaluate your finance condition and ensure that discontinuing the card is just in line with your set objectives.

2. Claim rewards: Use any reward points which have accumulated on your card before initiating the cancellation process.

3. Pay off any outstanding balance: Pay off any outstanding balance so that no issues arise in the cancellation process.

4. Call customer care: Call the customer care of Axis Bank to request the cancellation of your card. They will guide you through the procedure.

5. Submit a request form: For a closing account, send in a letter of request stating your name and address along with the last four numbers of the card.

6. Obtain verification: Get a written proof that your credit card account has been closed.

In conclusion, with these instructions, cancelling an Axis Bank credit card becomes simple. You can get all the rewards you might have accumulated, pay up for any outstanding balances you have, and be ready on how cancellation might influence your credit score. These steps allow you to end your card account with ease and confidence.

(Note: Using a credit card carries its own set of risks)