My credit card company want to close my account due to inactivity

ssdkck

I hold 2 cards with tesco bank, available credit over the 2 cards apx £10,000, that i haven't used in a year and I've just received a still need your credit card letter? Due to the cards not being used they would like to close my account but I can keep them open if i use my cards by jan 2025. I have been holding on to them patiently waiting for an interest free option to do a balance transfer, but I've received no offers. If i use both cards every month wisely and pay of in full each month, will i be in a better position for any promotional offers in the future ? 

eskbanker

Nobody can say whether you'll receive any such offers, but if you're carrying a non-0% balance elsewhere, then 'patiently waiting' for a BT offer from Tesco may not be the most effective way of dealing with that?  Or are you simply preparing for a balance becoming chargeable at a later date perhaps?

born_again

ssdkck said:

I hold 2 cards with tesco bank, available credit over the 2 cards apx £10,000, that i haven't used in a year and I've just received a still need your credit card letter? Due to the cards not being used they would like to close my account but I can keep them open if i use my cards by jan 2025. I have been holding on to them patiently waiting for an interest free option to do a balance transfer, but I've received no offers. If i use both cards every month wisely and pay of in full each month, will i be in a better position for any promotional offers in the future ? 

All depends on what balances you are carrying elsewhere, which from the sound of your post you have. Thus they feel that offers are too much of a risk to them.

If you want to keep them, then set up full direct debit & spend some of your normal spending on them.

Unused accounts have a higher fraud risk.
Example
https://forums.moneysavingexpert.com/discussion/6554904/barclays-slashed-my-credit-limit-for-non-payment-of-unauthorized-transactions#latest

Hoenir

Tomorrow Tesco credit card becomes part of Barclaycard. Another one bites the dust. Over time there'll be further account reviews. 

born_again

In that case OP can expect the balance to drop if no use. 

CliveOfIndia

Hoenir said:

Tomorrow Tesco credit card becomes part of Barclaycard. Another one bites the dust. Over time there'll be further account reviews. 

Barclays have bought Tesco Bank, but it'll be run as a separate entity (i.e. still under the Tesco brand) for a good few years.

To the OP, unused cards are often closed by the card issuer.  It costs them to maintain the account, and to make the credit available to you.  If they're not making any income from you (whether by way of fees, charges, interest, or by way of the fees they charge retailers when you use the card, even if you repay in full every month), then it's simply sound business sense to close the account.

There is an argument to say you may be better to close the accounts.  They may, at some point in the future, offer you a 0% deal to tempt you back to them.  But who knows what their marketing strategy is at the moment?

tizerbelle

ssdkck said:

 I have been holding on to them patiently waiting for an interest free option to do a balance transfer, but I've received no offers.  

It may be the fact that you don't use the cards is why you aren't getting any offers. I have a tesco cc, use it and pay in full every month.  I receive balance transfer offers regularly - never accepted as although the interest rate is 0% there's usually a % fee to pay. Don't keep the emails so cant say exactly what the offers were.

wiseonesomeofthetime

tizerbelle said:

ssdkck said:

 I have been holding on to them patiently waiting for an interest free option to do a balance transfer, but I've received no offers.  

It may be the fact that you don't use the cards is why you aren't getting any offers. I have a tesco cc, use it and pay in full every month.  I receive balance transfer offers regularly - never accepted as although the interest rate is 0% there's usually a % fee to pay. Don't keep the emails so cant say exactly what the offers were.

Tesco Credit Card - Offers

These were my offers in October:



It is my oldest credit card, however, it is unused.

maxximus75

Card providers like to see activity.  It factors in for offers to upsell.

It certianly couldnt hurt putting some transactions through them.