There is no magic number when it comes to credit cards, but there is a smart two lowest.
If you do not have much experience with a credit card, at some point you may want to know that many cards, you should have. Is enough? So you do not have a lot of card?
These are common problems, but the fact is that there is no perfect credit card numbers carry. However, you should have a minimum number of cards for the two.
You need a credit card to build your credit score, but there are, why you should carry at least a few of the important reasons than a carry.
1. In order to have a backup card
My father recently mentioned that someone used his credit card number to buy try the other side of the country, although he did not lose the card. His credit card company sent him a substitute, but until arrived, he had to use their debit card or cash.
Lies the problem. When you only have a credit card, you do not have a backup, if it is lost or stolen, or if the card is compromised. In any of these cases, you will use less secure form of payment does not earn you any reward stuck.
2. In order to earn a greater return
Although you can earn rewards with a single credit card, one of the best ways to improve your return is another card add to the mix. A popular strategy is to combine won prize money in certain categories of expenditure with their income at a flat rate to all expenditure high a card a card.
Imagine you have meals and 3% regressed back to a supermarket card and other 1% back on all income. So you get to earn 2% on every card purchase. By using all non-fee restaurants and supermarkets second card, doubling the reward you. Another option is for you to earn additional costs on the various categories of bonus to get multiple cards.
3. . Visa, MasterCard, Discover or American Express
However, not every merchant accepts payments: payments from two different online payment is an integral part of the network
For each of the four credit card All four were card payment network. Visa and MasterCard have the highest acceptance rate. FindAlmost become widely accepted in the United States, rather than international. American Express has the lowest acceptance rate of domestic and international allies
If you have found or American Express cards, it’s a good idea, you can also get a Visa card or MasterCard. In this way, if you visit many businesses do not accept your card, you will have another option.
4. In order to reduce the calculation of your credit score on your credit utilization
An important factor is your credit utilization. This is how you use a lot of your total available credit measures, which include 30 percent of your FICO® score
Here is an example – you have a credit card balance to $ 200 and $ 500 credit limit . Your credit utilization rate is 40%, which is a bit high, may adversely affect your credit score.
Then, you get a credit card credit limit of $ 500. You Tota L valid credit has increased to $ 1,000. The same $ 200 balance can only lead to a 20% credit utilization, increase your credit score.
But make sure you do not use this extra credit as an excuse to spend more, because it defeats the purpose. You should maintain the same spending habits as before, unless you across two cards, instead of a spread your normal purchases.
It has two
Although a credit card is enough to get rewards and build credit score, carry a second card brings several advantages. In case you have a compromised backup card. You can earn extra rewards. You can pick from two different payment card networks. You will have more credits, which can also help your credit score. These privileges, making it well worth picking another card to add to your wallet.