State Bank of India (SBI) is one of the largest and most trusted banks in India, with a wide range of products and services. One of their most popular products is the SBI Credit Card, which offers various benefits and rewards to the cardholders. However, if you no longer need or want to use your SBI credit card, you can cancel it anytime. In this article, we will guide you through the step-by-step process cancel SBI credit card, including the necessary documents, fees, and tips to avoid any hassle or penalty.
Before we dive into the cancellation process, let’s take a look at some of the reasons why you might want to cancel your SBI credit card.
Why Cancel an SBI Credit Card?
There could be various reasons why you might want to cancel your SBI credit card, such as:
- High Fees and Interest Rates: If you find the annual fee or interest rates on your SBI credit card too high or unaffordable, you might consider canceling it.
- Unnecessary Benefits: If you no longer need or use the benefits offered by your SBI credit card, such as reward points, cashback, or discounts, you might want to cancel it.
- Multiple Cards: If you have multiple credit cards and find it difficult to manage them, you might want to cancel some of them, including your SBI credit card.
- Fraud or Misuse: If you suspect or detect any fraudulent or unauthorized transactions on your SBI credit card, you should immediately report it to the bank and cancel the card.
- Change of Lifestyle or Income: If you have recently undergone a significant change in your lifestyle or income, such as a job loss or relocation, you might want to cancel your SBI credit card to avoid any financial burden or debt.
Now that you have a clear idea of why you might want to cancel your SBI credit card let’s proceed to the cancellation process.
Steps to Cancel SBI Credit Card
Step 1: Clear Dues and Transactions
Before you initiate the cancellation process, ensure that you have cleared all outstanding dues and transactions on your SBI credit card. You can do this by checking your monthly statements or by contacting the customer care service of SBI. If you have any pending payments or bills, pay them off before canceling your credit card. Otherwise, you might incur additional fees, interest, or penalty.
Step 2: Redeem Reward Points
If you have accumulated any reward points on your SBI credit card, make sure to redeem them before canceling the card. You can use the reward points to avail discounts, vouchers, or other benefits offered by SBI. You can also convert the reward points into cashback or statement credit. However, keep in mind that once you cancel your SBI credit card, you will lose all your unused reward points.
Step 3: Call Customer Care
The next step is to call the customer care service of SBI and inform them about your intention to cancel your credit card. You can find the customer care number on the backside of your SBI credit card or on the official website of SBI. Once you connect with a customer care executive, they will ask you some questions to verify your identity and reason for canceling the card. You can also ask them about the cancellation process, fees, and any other queries you might have.
Step 4: Submit a Written Request
After you have spoken with the customer care executive, you need to submit a written request to SBI for canceling your credit card. You can do this by downloading the cancellation form from the official website of SBI or by visiting the nearest SBI branch. Fill up the form with accurate details, such as your name, credit card number, reason for cancellation, outstanding balance, etc. Sign the form and attach any relevant documents, such as a copy of your ID proof and credit card statement. Make sure to keep a copy of the form and the documents for your records.
Step 5: Destroy the Credit Card
Once you have submitted the cancellation form, destroy your SBI credit card by cutting it into pieces or shredding it. This will ensure that no one can misuse or steal your credit card information. You can also inform the customer care service of SBI about the destruction of your credit card.
Step 6: Wait for Confirmation
After you have completed all the above steps, wait for the confirmation from SBI about the cancellation of your credit card. SBI will verify your request and check if there are any pending dues or transactions on your credit card. Once they have confirmed that everything is in order, they will cancel your credit card and inform you about the same. You can also check your email or SMS for any updates from SBI regarding your credit card cancellation.
Fees and Charges for Cancelling SBI Credit Card
While canceling your SBI credit card, you might have to pay some fees and charges, such as:
- Annual Fee: If you have already paid the annual fee for your SBI credit card, you might not get a refund for it. However, if you have not utilized the benefits of your credit card, you can request SBI to waive off the annual fee.
- Late Payment Fee: If you have any pending payments or bills on your credit card, you might have to pay a late payment fee or penalty. Make sure to clear all dues before canceling your credit card.
- Balance Transfer Fee: If you have availed of the balance transfer facility on your credit card, you might have to pay a balance transfer fee while canceling the card.
- Rewards Redemption Fee: If you have redeemed any reward points on your credit card, you might have to pay a redemption fee or processing fee. However, this fee is usually waived off if you have redeemed the points before canceling the card.
- GST: You might have to pay a Goods and Services Tax (GST) on the fees and charges related to canceling your SBI credit card.
Tips to Avoid Hassles While Cancelling SBI Credit Card
To avoid any hassle or penalty while canceling your SBI credit card, follow these tips:
- Plan Ahead: Before you cancel your SBI credit card, make sure to plan ahead and clear all outstanding dues, redeem reward points, and inform any recurring bill payments or automatic debit transactions linked to your credit card.
- Contact Customer Care: If you have any queries or doubts regarding the cancellation process, fees, or charges, contact the customer care service of SBI and clarify them.
- Follow the Process: Follow the step-by-step process of canceling your SBI credit card, including submitting a written request, destroying the credit card, and waiting for confirmation from SBI.
- Keep Records: Keep a record of all the documents, forms, and correspondence related to the cancellation of your SBI credit card. This will help you in case of any disputes or issues in the future.
Cancelled Credit Card and CIBIL Score
When you cancel your credit card, it can have an impact on your credit score, which is maintained by credit bureaus such as CIBIL. Your credit score is a reflection of your creditworthiness and is used by banks and financial institutions to determine your creditworthiness when you apply for loans or credit cards.
When you cancel a credit card, it can affect your credit score in two ways:
Credit Utilization Ratio
Your credit utilization ratio is the percentage of credit you have used out of the total credit available to you. For example, if you have a credit card with a credit limit of Rs. 1 lakh and you have used Rs. 50,000, your credit utilization ratio is 50%.
When you cancel your credit card, your total credit limit decreases, which can increase your credit utilization ratio. This, in turn, can have a negative impact on your credit score. Therefore, it’s important to make sure that you have low credit utilization ratio before canceling your credit card.
Credit History
Your credit history is a record of your credit behavior, including your credit card payments, loan payments, and other credit-related activities. When you cancel a credit card, it can affect your credit history, especially if the card had a long credit history.
A long credit history indicates that you have been using credit responsibly for a long time. When you cancel a credit card with a long credit history, it can reduce the length of your credit history, which can have a negative impact on your credit score.
However, canceling a credit card does not always have a negative impact on your credit score. If you have multiple credit cards with high credit limits and low utilization ratios, canceling one card may not have a significant impact on your credit score.
Tips to Minimize the Impact on Your Credit Score
To minimize the impact on your credit score when canceling a credit card, follow these tips:
Maintain Low Credit Utilization Ratio
Make sure to maintain a low credit utilization ratio before canceling your credit card. This will ensure that your credit score is not affected negatively due to an increase in your credit utilization ratio.
Keep a Credit Card Open
If you have multiple credit cards, it’s a good idea to keep at least one credit card open. This will ensure that you have a long credit history and a high credit limit, which can positively impact your credit score.
Don’t Cancel a Card with a Long Credit History
If you have multiple credit cards, it’s a good idea to cancel the card with the shortest credit history. This will ensure that you maintain a long credit history, which can positively impact your credit score.
Check Your Credit Report
Check your credit report regularly to ensure that it’s accurate and up-to-date. If you notice any errors or inaccuracies in your credit report, contact the credit bureau to have it corrected.
Canceling a credit card can have an impact on your credit score, but the impact can be minimized by following the tips mentioned above. Maintaining a low credit utilization ratio, keeping at least one credit card open, and canceling a card with a short credit history can positively impact your credit score. Always check your credit report to ensure that it’s accurate and up-to-date.
Cancel SBI Credit Card Online
SBI, or the State Bank of India, is one of the largest banks in India and offers a range of financial products and services, including credit cards. If you have an SBI credit card and wish to cancel it, you can do so easily online. Here is a step-by-step guide on how to cancel your SBI credit card online:
Step 1: Log in to your SBI credit card account
To cancel your SBI credit card online, you first need to log in to your SBI credit card account. You can do this by visiting the SBI credit card website and entering your user ID and password.
Step 2: Navigate to the cancellation page
Once you have logged in to your SBI credit card account, navigate to the cancellation page. You can do this by clicking on the “Services” tab on the homepage and selecting “Credit Card Services.” From there, click on “Cancel Card” to proceed.
Step 3: Select the card you wish to cancel
On the cancellation page, you will see a list of all the credit cards associated with your account. Select the card you wish to cancel by clicking on the “Cancel” button next to it.
Step 4: Confirm the cancellation
After you have selected the card you wish to cancel, you will be asked to confirm the cancellation. You will also need to provide a reason for canceling the card. Once you have confirmed the cancellation and provided the reason, click on “Submit” to proceed.
Step 5: Verify the cancellation
After you have submitted the cancellation request, you will receive a confirmation message on the screen. You will also receive a confirmation message via email and SMS. Make sure to verify that the cancellation has been processed successfully.
Things to Keep in Mind
When canceling your SBI credit card online, there are a few things you should keep in mind:
- Outstanding Balance: Make sure to clear any outstanding balance on your credit card before canceling it. Failure to do so may result in penalty charges and negatively impact your credit score.
- Rewards and Benefits: If you have earned any rewards or benefits on your credit card, make sure to redeem them before canceling the card.
- Impact on Credit Score: Canceling a credit card can have an impact on your credit score. Make sure to follow the tips mentioned above to minimize the impact on your credit score.
- Contact Customer Service: If you face any issues or have any queries related to canceling your SBI credit card online, contact SBI customer service for assistance.
Canceling your SBI credit card online is a simple and straightforward process. By following the steps mentioned above and keeping a few things in mind, you can cancel your SBI credit card hassle-free. Make sure to clear any outstanding balance on your credit card, redeem any rewards or benefits, and minimize the impact on your credit score. If you have any issues or queries, contact SBI customer service for assistance.
Reactivate Cancelled SBI Credit Card
If you have cancelled your SBI credit card but later changed your mind and want to reactivate it, there are a few steps you can take. However, the process of reactivating a cancelled credit card may differ depending on the bank’s policies and your credit history. Here’s what you need to do to reactivate your cancelled SBI credit card:
Step 1: Contact SBI customer service
The first step to reactivate your cancelled SBI credit card is to contact SBI customer service. You can do this by calling their toll-free number or visiting your nearest SBI branch. Explain to them that you wish to reactivate your cancelled credit card and they will guide you on the next steps.
Step 2: Verify your identity
SBI may ask you to verify your identity before reactivating your cancelled credit card. This could include providing your account details, personal information, and answering security questions.
Step 3: Check your credit report
It’s a good idea to check your credit report before reactivating your cancelled SBI credit card. This will give you an idea of how the cancellation may have affected your credit score and whether there are any negative remarks on your credit report. If there are any errors or discrepancies, you can dispute them with the credit bureau.
Step 4: Clear any outstanding balance
Before reactivating your cancelled SBI credit card, make sure to clear any outstanding balance on the card. If you had missed any payments, this could have negatively impacted your credit score. Clearing the balance will help improve your credit score and make it easier to reactivate your credit card.
Step 5: Agree to the terms and conditions
Once you have contacted SBI customer service, verified your identity, and cleared any outstanding balance, you may be required to agree to the terms and conditions for reactivating your cancelled credit card. Make sure to read and understand the terms and conditions carefully before agreeing to them.
Step 6: Reactivate your credit card
After you have completed the above steps, SBI will reactivate your cancelled credit card. You may need to wait for a few days for the card to become active again.
Things to keep in mind:
- Reactivating a cancelled credit card may depend on the bank’s policies and your credit history. SBI may reject your request to reactivate your credit card if you have a poor credit score or if there were any issues with your credit card in the past.
- Reactivating a cancelled credit card may come with fees or charges. Make sure to check with SBI customer service about any fees or charges before reactivating your cancelled credit card.
- Reactivating your cancelled credit card does not erase any negative remarks on your credit report. It may take some time for your credit score to improve after reactivating your cancelled credit card.
Reactivating your cancelled SBI credit card can be a simple and straightforward process if you follow the above steps. Make sure to contact SBI customer service, verify your identity, check your credit report, clear any outstanding balance, agree to the terms and conditions, and wait for your card to become active again. If you have any questions or concerns, contact SBI customer service for assistance.
FAQs on Cancel SBI Credit Card
You can cancel your SBI credit card by calling SBI customer service, visiting your nearest SBI branch, or by sending a written request to SBI. Make sure to clear any outstanding balance on your card before cancelling it.
SBI does not charge a cancellation fee for credit cards. However, if you have any outstanding balance on your card, you will need to clear it before cancelling the card.
Yes, you can cancel your SBI credit card online by logging in to your SBI credit card account and submitting a request to cancel the card. You can also cancel your card through the SBI Card mobile app.
Cancelling your SBI credit card may have a temporary negative impact on your credit score. This is because cancelling a credit card reduces your available credit and can increase your credit utilization ratio. However, if you have other credit cards or loans that are in good standing, the impact on your credit score may be minimal.
Yes, you can reactivate your cancelled SBI credit card by contacting SBI customer service, verifying your identity, and clearing any outstanding balance on the card. The process may differ depending on SBI’s policies and your credit history.
The time it takes to cancel an SBI credit card may vary depending on the method of cancellation. If you cancel your card online, it may take a few days for the cancellation to take effect. If you cancel your card by calling SBI customer service or visiting a branch, the cancellation may be processed immediately.
If you continue to receive bills after cancelling your SBI credit card, contact SBI customer service immediately. It is possible that the cancellation was not processed correctly, or that there are outstanding charges that need to be resolved.
Conclusion
In conclusion, cancelling an SBI credit card is a straightforward process that can be done in a variety of ways, including through online channels, visiting a branch, or contacting customer service. It is important to make sure that you clear any outstanding balances before cancelling the card to avoid any negative impact on your credit score.
Additionally, it is essential to keep in mind that cancelling a credit card may have a temporary negative impact on your credit score, but if you have other credit cards or loans that are in good standing, this impact should be minimal. If you do decide to cancel your SBI credit card, make sure to follow up with the bank to ensure that the cancellation has been processed correctly and that you do not receive any future bills or charges.
Overall, cancelling a credit card can be a responsible decision to manage your finances and credit, but it is important to weigh the pros and cons before making the decision to do so. If you have any questions or concerns about cancelling your SBI credit card, do not hesitate to reach out to SBI customer service for assistance.