When does it pay to have more than one credit card? Credit cards can give you several different discounts – Compare credit cards and see if it pays off.
Do you already have a credit card and are considering getting another one? Or do you feel you have too many credit cards? There is no correct answer to how many credit cards it pays to have, but considering the different discounts that come with different credit cards, it may be worthwhile to have more than one. We have compiled an overview of both the advantages and disadvantages of having multiple credit cards.
Benefits of having more than one credit card
Credit cards come with a variety of benefits and discounts, and if, for example, you fill a lot of fuel, then it will certainly pay off to have a credit card that gives you a discount when you fill up the tank. At the same time, there are other credit cards that come with other goods that you might also be able to benefit from. Most Norwegians buy a lot of food, and then it will certainly pay off to have a credit card that gives you a discount when you go to the store to buy food for both you and your family.
If you travel a lot, it would be worthwhile to have a credit card that offers free travel insurance and does not charge fees for cash withdrawals abroad. Or are you most concerned with collecting the most bonus points with airlines – then it would be a good idea to use a credit card that offers this.
Disadvantages of having more than one credit card
First of all, you should always make sure you never spend more credit than you can afford to repay. If you have multiple credit cards, it may be easier to lose track of how much you have used the card, and thus end up spending a little too much money. With multiple credit cards, it can also be more difficult to keep track of when the various credit card bills are to be paid. If you cannot afford to pay your credit card bill at maturity you will end up having to pay high interest expenses.
In addition, it is important to remember that many credit cards come with an annual fee to be paid. If you have multiple credit cards, you may want to find someone where you don’t pay that much in annual fees, or who don’t come with an annual fee at all.
Also, remember that the more you use a credit card, the more you will earn from the various discounts that come with it. If you have many credit cards, consider whether you want to earn so much on the discounts that come with the credit card that it covers up for the annual fee you may have to pay.
Pay your credit card bills
As mentioned, there is no definitive answer on how many credit cards it pays to have, and this is something that every customer must evaluate individually. The most important thing about credit cards is that you are always able to pay your credit card bills at maturity, in order to avoid having to pay interest. Credit cards come with high interest rates, which will easily be expensive for your wallet if you are going to start paying these expenses as well.