Check Your Points Before Closing the Account

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Rewards points can feel like free money. You collect them gradually through everyday spending, occasionally checking the balance, and telling yourself you will eventually use them for something worthwhile.

Then you decide to close the card.

Before doing that, check what happens to your unused points. The rules vary between rewards programmes, and closing an account can sometimes mean losing points that you have spent months or years accumulating.

Start by finding out exactly which programme your points belong to. Read the current terms rather than relying on what you remember from when you signed up. Some programmes allow points to remain available after you close a particular card, while others may cancel them when the underlying account is closed.

Also check whether your points have an expiry date. You may discover that some are already approaching their expiry or that the programme requires activity within a certain period to keep them valid.

If you have enough points to redeem something useful, consider doing so before closing the account. Depending on the programme, you may be able to exchange points for vouchers, travel benefits, products, or statement credits. Make sure you understand the redemption value rather than choosing something simply because it uses up the balance.

Do not forget about linked loyalty schemes. Your credit card rewards might connect to an airline, hotel, or retail programme, and the points may follow different rules once transferred. If you are considering moving them, check whether transfers are reversible and whether the destination programme has its own expiry rules.

There is another detail worth checking before cancelling a card: recurring payments. Streaming services, insurance premiums, memberships, and other subscriptions may still be linked to the card. Closing the account without updating them can lead to failed payments later.

None of this means you should keep a financial product simply to protect a points balance. If the card no longer suits your circumstances, the annual fee or other costs may outweigh the value of the rewards.

It simply makes sense to find out what you are leaving behind before you close the door. A few minutes spent checking your points, expiry dates, and linked payments can save you from discovering later that your accumulated rewards disappeared along with the card.