🇬🇧 UK

Should I close credit cards I don't use?

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GlobalUpdated 6 October 2026 · Written by BuyMeWhiskey Editorial Team · How we check facts

Close unused cards that charge fees, tempt you to spend or that you can't keep an eye on, but do it one at a time and not just before a mortgage or loan application, because each closure shrinks your total limit and can push up your credit utilisation.

Need to clear a balance before you close a card? Plan it with the credit card payoff calculator.

Open the Credit card payoff calculator

Why people want to tidy up

Old balance transfer cards, store cards and reward cards pile up. Experian points out that the more cards you hold, the harder they are to keep track of, the greater the temptation to spend and the higher the risk of fraud on an account you rarely check. The CFPB agrees that closing an unused account can help you manage spending and protect against identity theft. Those are good reasons to slim down.

The catch is that both warn the same thing: don't assume closing cards will improve your credit score. It can lower it, at least for a while.

What changes when you close several cards

Your total limit shrinks. If your balances stay the same, your credit utilisation rises. The CFPB recommends keeping it under 30%, and Experian says UK lenders generally prefer below 25%. Closing several cards at once can push you over those levels quickly.
Lenders look at limits, not just debts. Experian says lenders consider the credit available to you when judging whether you can cope with more. So lots of unused limit isn't purely positive either. Some lenders will see it as credit you could draw on.
Your history doesn't vanish. Closed UK accounts stay on your credit file for six years from closure, so a well-run old account keeps showing for a while after you close it.

Which cards to close first

Cards with annual fees you don't get value from.
Store cards and cards with high interest you'd never want to borrow on.
Newer cards before older ones, because long-held, well-managed accounts can help with some lenders.
Keep at least one or two no-fee cards with decent limits, including your oldest if it's free.

Timing: avoid the run-up to a big application

The CFPB says closing an account may make sense if you're not planning to apply for credit soon. If a mortgage, remortgage or car finance application is coming up, it's usually safer to leave things as they are until it's done, unless a lender asks you to close something. Then close cards gradually rather than all in one go, and check your utilisation after each one.

How to close a card properly

Clear the balance first, or move it with a balance transfer. Experian says you can't formally close a UK card while you still owe money: the provider keeps it open on your report until it's repaid.
Contact the provider by phone or in writing. Just cutting up the card, stopping the Direct Debit or ignoring it doesn't close it, and missed payments could lead to a default or a County Court Judgment.
Move recurring payments to a card you're keeping.
Check your reports after a month or two. In the UK, MoneyHelper says there are four credit reference agencies (Experian, Equifax, TransUnion and Crediva) and that checking your statutory reports is free.

If you keep a card you don't use

Look at its statements now and then for fraud or unexpected fees, as the CFPB advises. Experian notes that if you don't use a card for a long time, the provider may write to say it will close the account unless you tell them otherwise. If you want to keep it, make a small purchase and clear it.

Tom's utilisation on £2,400 of monthly spending

Worked example

Tom has five cards with limits of £6,000, £4,000, £3,000, £2,000 and £1,000. That's £16,000 in total, and he carries about £2,400 across them each month, all paid in full.

Now: £2,400 ÷ £16,000 = 15% utilisation.
If he closes the three smallest (£3,000, £2,000 and £1,000), his total limit falls to £6,000 + £4,000 = £10,000, and his utilisation is £2,400 ÷ £10,000 = 24%, just under the 25% UK lenders prefer.
If he closed all but the £4,000 card: £2,400 ÷ £4,000 = 60%. That's likely to count against him, even though he never pays interest.

His plan: close the three small cards one at a time over a few months, keep his oldest no-fee card and his main card, and move his subscriptions over before each closure.

Will closing unused credit cards improve my credit score?#

Not usually. The CFPB says not to assume closing cards will raise your score, because it can push up your credit utilisation. Closing makes more sense for managing spending, avoiding fees or reducing fraud risk.

How many credit cards should I close at once?#

Close them one at a time if you can, starting with fee-charging and newer cards, and check your utilisation after each. Closing several together shrinks your total limit sharply. Avoid it in the run-up to a mortgage or other big application.

Can I close a credit card that still has a balance?#

In the UK, Experian says you can't formally close a card while you still owe money; it stays open on your report until it's paid off. In the US, the CFPB says you can close it but must still repay the balance on schedule, and interest can still be charged.

Is it OK to just cut up a credit card I don't use?#

No. Cutting it up doesn't close the account, and if a balance or fee is left unpaid you could miss payments and get a default. Contact the provider to close it, then cut it up once it's confirmed.

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Sources

Figures checked against these sources on 6 October 2026. If a rule changes, we update the page and its date.

General information, not personal financial advice. Rules depend on your circumstances; check the official source or speak to a regulated adviser before acting.