Will canceling a credit card have an impact on your credit report?

Canceling a credit card will not have an impact on your credit report unless there are two circumstances before you cancel the credit card. Influence.

For example:

1. Have a past due record;

2. Have defaulted on credit card debts and have forcibly canceled the credit card, but this situation will not If it happens, the credit card cannot be canceled unless the balance is paid off.

According to Article 7 of the "Regulations on the Supervision and Administration of Credit Card Business of Commercial Banks": A credit card refers to a credit card that records cardholder account information, has bank credit lines and overdraft functions, and provides cardholders with relevant banking services. All types of media.

Credit cards stipulated in the relevant laws of our country ("Interpretation of the Standing Committee of the National People's Congress on Relevant Credit Card Regulations") refer to credit cards issued by commercial banks or other financial institutions with the functions of consumption payment, credit loans, transfer settlement , cash deposit and withdrawal and other full or partial functions of the electronic payment card. On December 1, 2017, the "English Translation and Writing Standards in the Public Service Field" was officially implemented, stipulating that the standard English name of credit cards is CreditCard.

Credit card consumption is a non-cash transaction payment method. There is no need to pay cash when consumption, and repayment will be made on the billing date (BillingDate).

Credit cards are divided into credit cards and quasi-credit cards. Credit cards refer to credit cards in which the cardholder has a certain credit limit and can consume within the credit limit and then repay; quasi-credit card It refers to a quasi-credit card in which the cardholder deposits a certain amount of reserve fund as required. When the reserve account balance is insufficient to pay, the cardholder can overdraw within the prescribed credit limit. The so-called credit card generally refers to a credit card only.

Starting from January 1, 2021, the credit card overdraft interest rate will be determined independently by the card issuer and the cardholder through independent negotiation, and the upper and lower limit management of credit card overdraft interest rates will be cancelled. The daily interest rate is 0.7 times 5/10,000).

On May 25, 2021, the Supreme People’s Court issued and implemented the “Regulations of the Supreme People’s Court on Several Issues Concerning the Trial of Bank Card Civil Cases.”

Interpretation:

According to Article 7 of the "Regulations on the Supervision and Administration of Credit Card Business of Commercial Banks": A credit card refers to a credit card that records relevant information about the cardholder's account, has bank credit limit and overdraft functions, and Various media that provide cardholders with related banking services.

Will canceling a credit card have any impact on my credit report?

Canceling a credit card has no direct impact on credit. Generally speaking, the impact is only because the balance in the credit card has not been paid off or the repayment is overdue. Therefore, before individuals choose to cancel a credit card, they must first make sure that the amount in the card has been paid off, otherwise it will cause unnecessary trouble to the individual and it will be more difficult to apply for a credit card next time. How to completely cancel a credit card account? Credit card cancellation is only for this card. In fact, the account is still there, and all the records in the account are still there. Cancellation is the complete elimination. However, the account cancellation process requires the cardholder to clearly indicate the request to cancel the account to the bank before it can be successful. If you have the idea of ??closing your account, you should pay attention to the following points. 1. Before canceling the account, check whether you still owe money. If you apply for account cancellation when the debt has not been paid off, the bank will not allow you to cancel the account because there are loopholes in your personal credit record. Therefore, you must pay off the account. The safest way is to cancel the account if you owe money; 2. Before canceling the account, you should check whether you have other credit cards in this bank. If so, please cancel the card first, because the bank cannot do it for multiple credit cards in use at the same time. If you are applying for account cancellation personally; 3. Pay attention to carefully check whether your account has been canceled successfully. Under normal circumstances, the application for account cancellation will be processed within forty-five days after the application. The person handling the account can try to call after forty-five days. The bank asked if the account cancellation was successful.

Will canceling a credit card affect your credit?

Canceling a credit card will not affect your credit. Only overdue repayments during use will be recorded in your personal credit report. Therefore, as long as the credit card is Once the arrears have been settled, the cancellation procedures can be processed normally. However, if there has been an overdue record before, the overdue record will be retained for 5 years even if the credit card is canceled, so please repay it on time to maintain your personal credit.

In addition to paying off the bill amount when canceling a credit card, annual fees, interest and other fees must also be paid off. Otherwise, these unpaid fees will become overdue repayments after cancellation. As a result, there is a situation where the credit card is canceled but the credit report is affected.