Many actions can affect your credit score, such as if you pay your bills on time or how much available credit you have. Also on that list: credit card transitions — when your card issuer changes behind the scenes.
Credit card transitions happen “periodically,” and though you can’t control them, they may affect your credit score, says credit expert John Ulzheimer, who has previously worked at credit scoring company FICO and credit bureau Equifax.
Starting Feb. 7, Bilt, a rewards and payments platform largely known for allowing members the option to earn credit card points on rent payments, is transitioning its credit card program from Wells Fargo to a new issuer, Cardless. Similarly, Chase will replace Goldman Sachs as the issuer of the Apple Card in two years, the banks announced in January.
Because a higher credit score can make it easier to get approved for loans and pave the way for lower interest rates, it may be wise to consider how your credit score will be impacted by a transition and what you can do when navigating the change to protect your score, Ulzheimer says.
In a credit card transition, you may receive a new card automatically, or in some cases you may need to opt in. But even if your new physical card doesn’t look different, your old account is typically replaced by a new one on the back end, Ulzheimer says.
