Credit Cards

Should I Have Multiple Credit Cards?

There are some people that have lots of credit cards, but also people that do not have any at all. We might hear things that we should be paying off our debts or not having too much credit available and things like this but is it right? What should we actually be doing? The problem is that we are all different and so we need to think about what will work for us personally rather than what might be suggested for everyone. There are some things that we should consider which will help to clarify our thoughts.

Available Credit

For every credit card that we hold, we have a certain amount of credit available to us. The credit is the amount that we spend on the card and this amount ill vary between cards as well as between card holders. The more cards you have, generally the more access to credit that you have. This can be extremely useful if you want to buy things of a high value using credit cards. However, there is also a risk with this. You could end up spending more money than you can afford using the card because you have access to all this credit. It is therefore important to make sure that you keep track of your spending so that you are confident that you are spending within your means. If you want to make sure that you repay the balance in full each month, then you will nee to make sure that you do not spend more than you can afford to or else you might struggle to repay it all.


The cards usually have no cost unless you do not repay the full balance each month. This means that you can use them to buy things with and not pay anything as long as you repay the money that you have spent on the date it is requested. This will be given to you when you get your monthly statement and you will also be told how much interest you will need to pay on the card if you do not repay it in full. It is a good idea to make sure that you do repay the card in full so that you do not have to pay that interest. It may not seem that much so you might think that it does not really matter if you do not pay it. However, it will make a big difference because it will add up and if you keep using the card and do not repay it then you will be charged more and more interest. You may feel that it is worth paying the interest because you feel it gives you good value for money as you can buy these extra things. However, you may not think that and once you have worked out how much the interest will be, you may decide that you want to repay the card in full. However, if you have multiple cards and have spent a lot of money, you may not be able to afford to repay all of the money. Therefore, it could be wise to think hard about whether this is a good idea or not. You might need to think about whether it will be better to have just the one card or none at all or consider how you can make sure that you monitor your spending so that you can set a budget that you can afford to make sure that you are able to keep repaying it.

Credit Rating

It is also important to think about your credit rating and the impact that having multiple cards could have on this.  If you have too much credit available to you, then it could impact the chances of you being able to borrow more. So, if you want a mortgage or something like that, they the lender could look unfavourably on this. You may even find that a potential landlord will as well. Even worse, if you have spent lots of money across lots of credit cards as this will look like you are not able to live within your means.