Parting with this provider is relatively easy, but be prepared to stand your ground.
When closing an account, most banks require that you speak to a person to try and convince you to remain a customer. USAA, however, allows you to write a message through your online account when closing out your credit card.
Sometimes you’ll be offered a lower APR, an increase to your credit line and more. But if you’re set on closing your account, be prepared to decline any offer made.
Looking for a new card?
Getting another credit card can have a positive impact on your credit score if the card has a higher credit limit. But as always, consider your financial needs before committing.
Steps to cancel your USAA credit card
- Pay off your balance. Even if you close your account, you’re still liable for any outstanding balances. To avoid an unpleasant situation, try paying off your balance before closing your account. Another option is to transfer your balance to another card.
- Redeem your rewards. Avoid losing any rewards by redeeming them before you close your account.
- Contact customer service. Log in to your account and send a secured message. If that doesn’t work or you prefer talking to a customer representative, call 800-531-USAA (800-531-8722).
How to call in to cancel
Before you call to close your account, know that the customer service representative will try to convince you to keep your card. This is standard across providers and could include tempting offers, which might be worth considering. If you like the offer, consider closing another card and keeping this one.
But if you want to close your account for good, decline their offer and prepare:
- Your credit card and account information.
- Reason for canceling the card — any reason will do.
- Pen and paper to write down the representative’s ID and name in case you need it later.
When ready, call 800-531-USAA (800-531-8722).
Will canceling my USAA credit card affect my credit score?
It depends on your financial situation. Before closing your USAA credit card, you may want to consider:
- Your overall credit utilization. If you have low utilization across all of your cards — say, less than 20% — and the credit limit of your USAA card doesn’t contribute by more than 10% to your overall credit limit, the impact on your score could be minimal. Otherwise, you could see a drop in your credit score.
- Solution. Apply for another card. A higher credit limit can lower your utilization levels across all cards. It will also decrease your average account age and likely require a hard pull on your credit, so keep in mind that it likely won’t be a huge boost.
- Whether you plan to apply for a loan soon. If you do, canceling your USAA credit card could affect your credit score and therefore negatively impact the loan conditions you receive.
- Solution. Don’t cancel your card until you get your loan approved. Once you do, you can safely close your card.
- Your name and address.
- Credit card number.
- Cancelation date and the name and ID of the representative you talked to.
- Request for an account closure confirmation letter.
What should I do after I’ve canceled my USAA credit card?
To be certain that your account is closed, consider writing a cancelation letter. In your letter, you should include:
Send your letter to:
USAA Federal Savings Bank
10750 McDermott Freeway
San Antonio, TX 78288-9876
Now that you’ve decided to close your USAA credit card, compare your credit card options to find the best option for you.
