Most financial experts recommend having two to three credit cards – one or two primary card and another card in case something happens to the primary credit card (lost, stolen, etc.).
For my post-graduate life, however, I’ve only had one credit card. Although I’ve been thinking that one card isn’t quite prudent, I never actually applied for a second card.
Here’s why I love having only 1 card:
1. Ease of tracking: One card = 1 website, 1 deadline, 1 credit limit, 1 username, and 1 password to remember.
2. Concentration of reward points: I put all credit card purchases on 1 card, so I accumulate points relatively quickly. Eveyr 10,000 points = $100 Sephora card!
Here’s why I think I might need another card:
1. Emergencies happen: if I lose my credit card now, I’ll have to wait for the company to cancel and mail me a replacement card. In the meantime, I’d have to rely on my debit card (which I don’t like to use for purchases).
2. Better credit score (?): If I get another credit card, my total available credit will be much higher, but my total credit use will still be the same. So, my percentage of credit used will decrease, and that should have a favorable impact on my credit score.
What do you think? How many credit cards do you have?