The Benefits of Having Multiple Credit Cards

Many cringe at the thought of having multiple credit cards, as it can lead to financial ruin for irresponsible spenders. It can be tempting to overspend when you have access to a large credit line. However, there are many benefits to opening multiple credit card accounts. Before you can get started, it is necessary to have a good credit score of 720 or above. Also, you should only open 1 new account every 6 months or so. Opening a bunch of new accounts at once will certainly lower your credit score.

Top 5 Benefits of having Multiple Credit Cards

Maximum Reward Points – When opening accounts you should seek out credit cards with rewards benefits for specific categories. This will allow you to receive maximum cash back for your everyday spending. For example, you should have a card that pays 5% back on groceries, and a separate card that pays 5% back on gas, and another card that pays 5% on entertainment spending. Keeping multiple accounts open with high rewards benefits can save you thousands per year. In my case, I use my rewards points to buy 2 international flights per year, saving me over $2,000 annually.

Improved Credit Score – Believe it or not, having multiple credit card accounts can improve your credit score. It is essential to follow a couple simple rules to make sure your credit score is not damaged when maintaining many accounts. First, never let the balance on the card exceed 10% of the credit limit. So if you have a $10,000 credit limit, your statement balance should not exceed $1,000. Second, always pay your balance on time. You can make this easier by setting up automatic payments and email alerts when the bill is due.

Take advantage of Promotions – Credit cards offer great enrollment promos to attract new customers. It is not uncommon to find a card that will provide up $600 worth of benefits just for signing up. These rewards usually come in the form of points which can be redeemed for gift cards, travel, or cold hard cash. Search popular credit card sites like and to find the best deals going on right now.

Emergency Money – I currently maintain 7 credit card accounts and have access to over $60,000 in credit, and $25,000 available for cash advances. If I were ever in dire straits and needed emergency money, I have access to multiple sources of funds. A person who relies only on the funds in their bank account could be in trouble during times of financial emergency.

Owing multiple credit cards is something that should only be attempted by responsible spenders. If you don’t have good control over your finances, this is probably not a smart idea for you. We hope this article explained the benefits of having multiple credit cards.

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We hope this article helped you learn more about the benefits of multiple credit cards