Closed A Credit Card Today
Today I have closed my oldest card. I had a Creit Card of Citi from the last 7 years which I have closed it today. I don't wanted to close it but the migration from Citi to Axis has made the matter worse.
So, when I opened my Salary Account with Citi, I have not opted for Credit Card and thus after 2 years looking at the benefit. I have applied for a Credit Card from Citi and they have given me a basic card whose fees was Rs 1K but it was waived off if you spend Rs 30K in a year. So looking at the advantage, it was worth it.
This year in July the Citi Bank was bought over by Axis and they have migrated all their cards. So now, they have changed their spending limit and thus we have to spend Rs 2 Lakh in a year for Rs 1K waived off. Now looking at the advantage, I don't think so their is so advantage of spending Rs 1K every year instead I can get any other card which can give me more benefit.
I do have 7 Credit Cards and in that only 1 card is having the annual charge and that too SBI card, other than that all my cards are Life Time Free or having low spend based reversal. And that why I have to close my oldest card today.
I am not sure how much impact it will have in the CIBIL score because all other cards are relatively new. It's recommended to not close your cards because that can impact your credit score. Though my credit score is good, I wanted to see how it can impact my overall score.
I will wait for any offers from Axis bank for Life Time Free Credit card because sometimes we actually get good offers on Axis cards. I have HDFC, SBI, IDFC, IndusInd, ICICI, IDFC so now only Axis is pending where we usually get good rewards.
Posted Using InLeo Alpha
This post has been manually curated by @bhattg from Indiaunited community. Join us on our Discord Server.
Do you know that you can earn a passive income by delegating your Leo power to @india-leo account? We share 100 % of the curation rewards with the delegators.
100% of the rewards from this comment goes to the curator for their manual curation efforts. Please encourage the curator @bhattg by upvoting this comment and support the community by voting the posts made by @indiaunited.
I guess you don't know this, but probably most of the users who speak English do not know what a lakh is. I know in some countries numbers are grouped differently and it can be easy to assume people know things. For example: Try explaining Bitcoin.
Ahh Sorry, I actually forgot this tim. Most of the time I try to write in numbers which are actually understood my many like....2 Lakh should be written as Rs 200K.
I also have a Citi reward card and now its migrated to Axis Bank. Are you sure that they have revised the spending limit as I assume the same terms will also migrated for Citi users. Did you check with the Bank?
Yes I checked with them, they said the same will be applicable till you have the Citi Bank Credit Card. Once you get the Axis Bank one in first quarter of 2025 the new spending limit will be applicable.
That should translate into restrain from spending, so congrats on your move. Optimizing costs and spending is what will push us to having healthier finances.
That's correct, but again I usually don't spend much on the Credit Card as most of them are Life Time Free. But if I have kept it then yo save Rs 1K I had to spend 200K Rupees in a year. So it was not worth it.
This post has been manually curated by @bhattg from Indiaunited community. Join us on our Discord Server.
Do you know that you can earn a passive income by delegating to @indiaunited. We share more than 100 % of the curation rewards with the delegators in the form of IUC tokens. HP delegators and IUC token holders also get upto 20% additional vote weight.
Here are some handy links for delegations: 100HP, 250HP, 500HP, 1000HP.
100% of the rewards from this comment goes to the curator for their manual curation efforts. Please encourage the curator @bhattg by upvoting this comment and support the community by voting the posts made by @indiaunited..
This post received an extra 20.00% vote for delegating HP / holding IUC tokens.
It makes no sense to me that cancelling a line of almost free credit (which is what a credit card account is) would affect your credit score in a negative way. I am inclined to think such an action proves you don't need it and that is a sign of someone who has capacity to pay.