How many credit cards should I have?
One is enough. Choose a card with a good APR, as well as a low credit limit. Your local bank may offer the perfect card for you to use to begin building a credit history. For more information about selecting a credit card, call 581-7786 to schedule a free appointment with the Financial Education Coordinator @ the HERC.
Credit is a powerful tool—but it’s also a big responsibility. In general, the number of credit cards you have in your own name should be based on your income, budget and ability to manage money. Before trying to determine how many cards to have, create a plan for repaying what you charge. It is also important to remember if you have more credit cards than your income can support, it could have a negative effect on your overall credit. Check out Your Credit History for more info.
Credit is a powerful tool-but it’s also a big responsibility. In general, the number of credit cards you have in your own name should be based on your income, budget and ability to manage money. Before trying to determine how many cards to have, create a plan for repaying what you charge. It is also important to remember if you have more credit cards than your income can support, it could have a negative effect on your overall credit.
Enticing credit card offers fill the mailboxes of thousands of Americans every day. Accompanied by amazing offers of zero percent interest for six months and no fees for balance transfers, 15% to 20% off your first purchase, discount hotel rates and free movie tickets, the list goes on and on. And on impulse we fall to our knees and sign on the dotted line without thinking about just how much another credit card will affect our families, our credit histories, or our financial futures. Before you sign up for another card, ask yourself what is the rule of thumb for credit cards, just how many credit cards is enough? Do you know? Is there a magical number or is it just a matter of how you manage them? If your answer to all of these questions is I don’t know, read on to find out. Most Americans carry between five to ten credit cards in their wallets, with the average household owing $12,000 in credit card debt. Considering that the median U.S. household income is only $49,772, that is 24%
