Discover email reference closing my account

[GON]

Surprised to get this e-mil, closing my account for non-use. I thought financial institutions generally want to keep every and all accounts open so they can report XXX amount of accounts open.

Dear GON,

As a result of a recent review of the Discover® referenced above, we will be closing your account due to inactivity. However, it's easy to keep your account open. Simply make a purchase by October 14, 2023 and your account will remain open. If you do not make a purchase your account will be closed on this date or shortly thereafter. Keep in mind, any purchases or transactions made after October 14, 2023 will still be posted to the account. If you can't find your card and need to request a new one, please give us a call at 1-800-DISCOVER (1-800-347-2683).

Sincerely, Discover Card Customer Service

 

[dishdude]

I got this earlier in the year and charged $0.50 to it. This card no longer is a good fit for my spending habits, but it is my oldest account and no annual fee so I am keeping it around.

I have a Chase Freedom that is a pretty old account too, but it useless to me as well, still on the fence if I should keep it or cancel it. No annual fee.

 

[slacktide_bitog]

Just buy a cup of coffee or something at the dollar tree and then pay it off as soon as it posts

 

[SC Maintenance]

I get this email for a card I don't use every couple years I think. I just go make a purchase before the date.

It costs money for them to maintain the account on their books (administrative cost). Sending an email likely jogs most people into using it - so money they wouldn't have otherwise.

 

[ctechbob]

I get those from time to time. They probably do it just because the cost to them is so small, and the benefit to them is most people will use the card again at least once.

 

[thescreensavers]

That's normal, you'd want to keep it open for account history.

Do you have any reoccurring charges maybe you could put on there?

 

[GON]

Just buy a cup of coffee or something at the dollar tree and then pay it off as soon as it posts

Haven't used the account in years- maybe never. Zero balance as I don't use the account. Now, I can't recall how I even got the card.....

 

[Jdeere562]

I went this spring to a local bank a few blocks away. Went to transfer $160,000 plus from one account to other funds.

They dinged me on a checking account with less than $2000.00 that I had not used.

Said I needed to use it every year or so. I asked to withdraw $10.00 and all is fine for another year or so.
Goofy rules.

 

[reemoeMO]

I charge something small each January on cards I no longer use (using the New Year as an easy day to remember). It's good to keep them open to help lower your credit utilization, which is used in calculating your credit score, along with lengthening your average account age, which is another factor that the credit bureaus use.

 

[JavierH19]

I too got an email about an old discover account getting closed if I didn't fund it again. They don't pay enough interest to be worth it. Capital one pays the same while still having a brick and mortar locations i can visit which i do occasionally. It costs tons of money to service retail bank locations. Capital one must be more financially efficient.

 

[Shel_B]

I've encountered the same thing with one of my credit cards. I do as has been suggested, I buy something and pay it down soon after. It's one of my oldest cards and it has a low limit, but I don't want to close accounts as I'm concerned that doing so might negatively affect my credit rating. Maybe it won't, but it's no big deal to keep the card and buy something with it once a year or so.

 

[Escape08]

I love my Discover Card, it's the only card I used. My other CCs in my wallet are just for backup just in case Discover is not accepted. What I like it about is it's US based CS (no call-waiting), cash back bonus, monthly credit score report, no annual fee and an option to Freeze/Unfreeze my account online (w/o calling CS). IDK how much interest rate it charges but I always pay in full (statement balance). Had it for >30 years now and never could I recall having problems with it.

Out of curiosity. May I ask, why you don't use yours?

 

[Soft Cars]

I wish I had your problem. Right now my Discover Card balance is $1968.10.

 

[Lubener]

It's not a Discover thing, all cards are on cancel alert for inactivity. If you don't use it, you do not need it. I make an attempt to use all my cards atleast a couple times a year and pay in full when the bill comes.

 

[Kira]

I heard somewhere that a slew of active cards (ergo, potential avenues to amass debts?), while unused, can injure your credit score.
I do not know.

 

[mrsilv04]

I had a credit card, can't remember which it was at this point, and didn't even get a 'warning'. Sent me a letter in the mail... boom, you're done for inactivity. I still even had their card in my wallet. Didn't even give me a chance.

Doesn't matter, still have a Discover card... which is my main credit card. Cardholder since 1992.

Here's a bit from the past.... Discover was launched in 1985 by Sears, when they were the largest retailer in the US. How much has changed since then...

Since we're on the topic of credit cards, let me pass something along. Have all of your credit cards set up so that the minimum payment gets automatically paid from a checking account on the due date. That way if you charge something to it and forget, you'll never get hit with a surprise late fee.

 

[silversport]

I've gotten these types of email (even one from Discover) since I hadn't used their credit card in some time...keeping the account open costs the company some money...

Banks can close your accounts too for non use even if thought you have money in it but it usually takes much longer and they will try to contact you at your last known address on file...

Bill

 

[Hall]

I see a couple comments saying these inactive accounts "cost" these companies money. How ? These are so automated nowadays there's no way they could put a cost of keeping them open on them. It's not like old days when workers had to manually maintain them, calculate, etc. Even payments from customers are probably hands-off. I mean, do people mail in paper checks for their payments ? Oh wait....

 

[ArrestMeRedZ]

Discover doesn't pay much in cash back unless the charge is in the 5% quarterly category, but I like the card for other reasons. They have, hands down, the best customer service. Any time I have had questionable charges they took care of the problem right away. I like the card for internet purchases from unproven vendors.
Then there is the Shell gift card event. A bit over 10 years ago I learned on BITOG and Slickdeals that Shell gift cards were half price when paying with Discover points. I ordered $3400 worth, never expecting them to actually honor the deal. I received every card. Two years worth of gas covered. Probably won't happen again but I keep a big points balance just in case.

 

[Shel_B]

I love my Discover Card, it's the only card I used. My other CCs in my wallet are just for backup just in case Discover is not accepted. What I like it about is it's US based CS (no call-waiting), cash back bonus, monthly credit score report, no annual fee and an option to Freeze/Unfreeze my account online (w/o calling CS). IDK how much interest rate it charges but I always pay in full (statement balance). Had it for >30 years now and never could I recall having problems with it.

Not any different than some other cards that I use.