What Happens when you do not Activate your Credit Card?


A lot of people today opt for credit cards to take care of their immediate financial needs. These cards come with several features which make them quite an attractive option. Some financial institutions offer 0% interest rates for the first 12 months. It makes applying for them quite irresistible.
But numerous new users do not have a proper idea on how to activate a credit card. Even though it does not seem that disturbing, in effect, it can have many negative effects. To avoid this, it is better to activate your card in time.

Negative impacts of not activating credit card
Not activating a card does not mean that the account is invalid. However, the account is open, and the card is issued. In case you do not want the card, you will need to deactivate it properly.
       In case a card has not been deactivated, the individual may need to pay an annual fee. It is one of the potential fees that a card issuer can impose even if the credit card status is inactive.
       Whenever you apply for a credit, a hard enquiry ensues. If you have not activated a credit card and continue towards another application instead, it will result in another hard enquiry results which will negative effect on the credit score.
       Credit cards are considered as one of the best tools to increase credit scores. When you avail a card, your score diminishes slightly because you are opting for a lending tool. But, with proper usage, you can increase your score easily.
There are several benefits which may be associated with using a credit card. Activating and using it correctly can also help increase the credit score.
How to activate a credit card?
Following is how to activate a credit card:
  1. When you receive the card, you get a number. You need to call that number to activate your card.
  2. You can also go online to the official website. Enter the required details, and your request will be processed.
Some credit cards get automatically activated by the financial institution within a few days of receiving it.
When to deactivate the card?
In case you have received the card and are not satisfied with the charges or terms which are adding up to your statements beyond your prior knowledge, you should deactivate it instead of just letting it be. To deactivate the card you need to contact the credit card issuer immediately. This ensures that there is no negative impact on the credit score.
Why is it important to know about the features and benefits of a credit card?
You can opt for a card after knowing about the credit card features and benefits. It can help you take the right decision when searching for a suitable financing option. Also, you need to focus on the interest rates and other advantages of the credit cards before choosing one. Doing proper research always pays off.
The various facilities which may come with credit cards can make them quite attractive as a financing option. For example, Bajaj Finserv RBL Bank SuperCard comes with several benefits such as easy EMI options and ATM withdrawals.
Bajaj Finserv also brings with them pre-approved offers which make it easier to avail these credit cards by simplifying the process. Pre-approved offers also come with home loans, business loans, personal loans, and other financial products and services. You only have to provide a few basic details to check your pre-approved offer.
If you already have the credit card in your hand and you are still having a hard time deciding whether you want to activate it, you should at least go ahead with some transactions to generate the first statement. An activated credit card status brings with it various benefits which you should make the best of for a better credit report. It is therefore recommended that in case you already received the card, activate it instead of keeping it idle.

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