Banks suddenly cancel credit cards: real reason disclosed

It's common to hear friends and family report canceled credit cards. In recent months, customers of Inter, C6 Bank, Credicard and Nubank reported online that they had unexpectedly suspended access to the service.

This is one of the main problems that fintechs face and involves issuing credit cards upon customer request, with the possibility of revoking approval if the credit card is not used after receipt. And credit cards with no annual fee are the most affected by this risk.

Furthermore, many institutions end up automatically canceling the card when they discover that the account has not been activated for more than 12 months.

Reasons to cancel a credit card

Here are some reasons why your credit card might be canceled:

• In case of incorrect documentation;
• When there is commercial lack of interest;
• For suspected fraud actions;
• If there is non-compliance with the terms of use;
• In the absence of transactions such as withdrawals, deposits and transfers indicate account inactivity;
• In case of negative CPF;
• When documentation is pending after the deadline established by the institution.

Cancel card

When making pre-approved credit card balances available, companies take into account the so-called “operational limits”, which vary according to the size of the institution.

In this case, whenever a customer requests a card and does not use it, the company understands that this prevents another potential customer from using the balance and generating profit. That said, logic suggests that there is no point in breaking restrictions on customers who do not use the card.

Other banks, such as Santander, typically implement these cancellations gradually, starting with lower limits and ending with the suspension of services.

To prevent this from happening, 3 tips must be analyzed: 1. Use your card at least once a month; 2. Don't leave your card idle for more than six months; 3. Always use a proportional limit so that t will not decrease.