How To Close A Discover Account

Last updated Apr. 16, 2025 by Charles Zemub

Closing a Discover account is a decision many consider for various reasons. Whether you’re seeking to consolidate your financial commitments, desiring to switch to another financial service provider, or closing an account due to inactivity, Discover offers a straightforward process for account closure. In this comprehensive guide, we’ll walk you through the nuanced steps, considerations, and relevant information essential for closing your Discover account.

Understanding Discover Accounts

Before delving into the closure process, it’s important to understand what a Discover account entails. Discover offers a variety of financial products, including credit cards, online savings, and checking accounts. Each product comes with its unique terms and features. Ensure you are clear on which type of account you intend to close.

Reasons for Closing a Discover Account

1. Better Offers Elsewhere: Financial institutions are competitive, and you may find better interest rates, rewards programs, or benefits with another bank.

2. Financial Management: Managing multiple accounts can be cumbersome. Consolidating accounts makes tracking financial activity easier.

3. Unmet Expectations: If Discover doesn’t meet your expectations for customer service, rates, or accessibility, you might choose to close your account.

4. Account Inactivity: An inactive account might incur fees or affect your credit score negatively.

5. Personal Financial Changes: Life changes such as moving abroad might necessitate closing a domestic bank account.

Steps to Close a Discover Account

1. Clear Your Balance

Before initiating the account closure process, ensure that your account balance is zero. This applies differently to credit and bank accounts:

• For Credit Card Accounts: Pay off any outstanding balances, and check for pending transactions.
• For Savings/Checking Accounts: Transfer your funds to another account and confirm the balance is zero.

2. Redeem Rewards

If you hold a Discover credit card, ensure you redeem any available rewards before account closure. Failing to do so might result in forfeiture of these benefits.

3. Update Automatic Payments

Examine your account for recurring payments or automatic debits. Update these payments with a new account to avoid service interruptions.

4. Contact Discover Support

Discover requires you to contact their customer service to close an account. They offer two main ways to proceed:

• Phone Call: Dial their customer service number, which you can find on their website or your account statement. Verify your identity and request account closure.
• Mail a Request: Alternatively, you can write a letter requesting account closure. Include your account number, name, and a request for confirmation of closure.

5. Receive Confirmation

After requesting account closure, request and verify receipt of a written confirmation from Discover. This serves as a record proving the account was closed at your request.

6. Monitor Your Credit Report

After closing your account, monitor your credit report to ensure the account is marked as closed. This reduces the risk of potential fraudulent activity.

Potential Consequences of Closing Your Discover Account

• Impact on Credit Score: Your credit score might dip if closing the account affects your debt-to-credit ratio or credit history.
• Loss of Account Age: Accounts held over long periods enhance your credit history. Closing affects this measure.
• Forfeiture of Rewards: Ensure all entitlements and rewards are utilized to avoid loss.

Strategies to Mitigate Credit Score Impact

• Maintain Other Accounts: Keeping other credit lines open and active maintains your credit history length.

• Open New Accounts Judiciously: If switching to another credit card, ensure you maintain positive usage and timely repayments.

• Check Credit Regularly: Use free tools or subscriptions to keep an eye on your credit report.

When Closing a Discover Account Isn’t Advisable

There might be situations where keeping your account open could be more beneficial:

• Long Credit History: If this is your oldest credit account, closing it could significantly reduce your credit history length.

• Available Rewards: Consistent card use with significant rewards might outweigh the benefits of closing.

• Positive Relationship with Discover: If you plan to keep business with Discover, maintaining an active account may afford you continuing customer benefits.

Final Thoughts on Account Closure

Closing a Discover account is both a personal decision and a strategic financial move. Consider both the immediate needs and the long-term effects on your financial profile before proceeding. Thoroughly review terms and consult financial advice if needed to ensure it aligns with your financial strategy.

Frequently Asked Questions (FAQs)

Q1: Can I reopen my Discover account after closing it?

A1: After closing, reopening the same account is typically not possible. You’ll likely need to apply for a new account.

Q2: Are there fees for closing a Discover account?

A2: No, Discover does not charge fees for closing your account.

Q3: What happens to my Discover rewards if I forget to redeem them?

A3: Unredeemed rewards are forfeited when you close your account, so it’s crucial to redeem them beforehand.

Q4: How long does it take for the account to close?

A4: Account closure timeline varies, but it may typically take a few days after making the closure request.

Q5: Will closing my Discover first affect my credit score?

A5: Closing an account impacts the debt-to-credit ratio and possibly the credit age, which can affect the credit score negatively.

Q6: What should I do if there are unauthorized transactions after account closure?

A6: Contact Discover immediately to dispute any unauthorized transactions for resolution as soon as they appear.

By understanding the critical steps on how to close a Discover account, you’ll be better equipped to make informed and effective financial decisions.