Credit Card Expiry Date & Its Positive Implication on Your Card.
Credit Card Expiry Date: Knowing when your credit card is expiring will save you from the risk of having it declined if you rush to shop. Although dates printed on cards do not indicate a specific day, the rules are the same irrespective of which credit card is issued by your financial institution.
When is the Credit Card Expiry Date?
The expiry date on cards usually includes the month and year only. In such cases, the cards will remain valid until the last calendar day of that month. For instance, if an expiry date reads “09/20,” this means that it can be used until midnight on September 30th, 2020. If after this time you seek to use the card, it will be refused.
Do not forget to update any automatic charges that you have on the card by adding the new expiry date, otherwise, your card may still be charged even after its expiry date, with costs that you may not even know about.
The Reasons for Credit Card Expiry Date
The expiration dates for credit cards are there for a number of reasons. Bote that they apply to card expiry, not credit card account.
The expiry dates are there because the chip may get worn on the card, and plastic may break. Your credit card company will send you a new card at certain intervals-typically every three years.
The second big reason: Prevention of fraud. Whether you’re using the card in person, over the phone or online, the expiry date provides an additional data point that can be checked to ensure that the card information is valid and that you’re the rightful user.
Other reasons for expiry dates: They present a marketing opportunity to the card issuer and a chance to periodically re-evaluate the credit card terms based on your current creditworthiness. Card companies can also use the expiry date as an incentive to give you a card with a revised design or logo.
Does Credit Card Expiry Date Apply to the Credit Card Account?
The expiration dates are for the individual cards only and not for your credit card account. Your account terms remain intact including your credit limit and interest rate. You are still responsible for making the minimum monthly payments on time every month until your credit card balance is fully repaid.
Credit card issuers can change the terms of your account but major changes normally require a notice of 45 days and are not related to the expiry date of your card. By giving card expiry dates, card issuers can be more sure that cardholders use the latest technologies and security features.
How to Find Your Credit Card Expiry Date
You will find the expiry date in front of the card. For the month, you can see a two-digit code and the last two digits of the year. Like other issuers of credit cards, the card expires on the last day of the month the card is due.
Additional Things You Need to Know About Credit Card Expiry Dates
Expiration Dates Add Fraud Protection: An expiration date adds an extra layer of Fraud Protection to your account. Retailers check a card’s expiration date and the user’s credit card information to verify the card is legitimate. And anyone who tries to steal data might have trouble using the information if the card has already expired.
Credit Cards Break Down Over Time: Another reason your credit card has an expiration date is so that you can replace it before it becomes unusable.
Credit Cards Get Upgrades: Technology is constantly evolving and credit card companies are always looking for the best way to keep your account secure. Including an expiration date is one way to give you an “upgrade” every few years when a credit card company makes upgrades to its cards.
Credit Card Disposal
You should properly discard your expired credit cards to ensure that personal financial information doesn’t fall into the wrong hands.Cut the embossed digits lengthwise, and then make vertical cuts to separate the individual numbers.
Ideally, throw away the pieces separately so there is no chance that the card can ever be reassembled again. Another option is to run the expired card or recycle it through a paper shredder.
After activating your new one, dispose of your old card securely. Take the time to update recurring payment information so that you can continue to use your card.