Consider the following:
$$X=\bigg\{(x,y,z)\in\mathbb{R}^3\ \bigg|\ 1\leq \sqrt{x^2+y^2} \leq 2\bigg\}$$
$$Y=\bigg\{(x,y,0)\in\mathbb{R}^3\ \bigg| \sqrt{x^2+y^2} \leq 1\bigg\}$$
$$A=X\cup Y$$
i.e. $A$ is the union of an infinite thick cylinder with a flat disk inside it.
Then $A$ is closed (union of two closed subsets) and contractible (first deform $A$ onto $Y$ via $t\cdot (x,y,z)\mapsto (x,y,tz)$ , and then $Y$ onto the origin), but
$$A^\circ=X^\circ=\bigg\{(x,y,z)\in\mathbb{R}^3\ \bigg|\ 1< \sqrt{x^2+y^2} < 2\bigg\}$$
is path connected and not contractible. This can be even generalized when $A$ is a closure of an open set by making $Y=\{(x,y,z)\in\mathbb{R}^3\ |\ |z|\leq\sqrt{x^2+y^2} \leq 1\}$.
Generally "being contractible" does not behave well under closure and interior operators.