To have seven credit cards?

[SeasonedChoices]

I’ve recently been looking at my finances and realised that I have seven credit cards. I use them for different purposes, like travel rewards, cash back, and managing expenses, but I’m starting to wonder if this is excessive. I keep track to everything and pay off the balances regularly, but I’m questioning if having this many is over the top.

AIBU for having seven credit cards?

I can't think why anybody would want more than 2. 7 seems excessive to me.

What’s the point?

I would have thought 7 might damage your credit rating even if they're being paid off - a bank might look at it as evidence that you can't manage your daily expenditure. I mainly just use one credit card because I'd rather get more of one type of reward than spreading my spending around too. I have a back up one though and most people I know have a couple.

I've got six, have had them for years, I use one for travel, one for cash back, one for vouchers etc. I've got a good credit rating but I don't hold a balance on any of them, they all get paid off each month.

It sounds like we have a similar approach, I don’t feel so bad now! I have a great credit rating too

This site can sometimes be a little odd concerning credit cards, there's a definite lean towards credit cards = bad but that's not necessarily the case. I have loads of cards but am not chaotic, I track everything I spend and use them to gain extra benefits along the way.

Yanbu. I’ve got 8, all for different purposes. Paid off in full every month. Got an excellent credit rating,so it’s not adversely affected. I’ve also got 5 current accounts. All different banks. Makes controlling and managing spending and balances far easier. Also good to maximise benefits such as cash backs, incentives, points, etc.

If it works for you, it works. Even if 90% of other people do something different. I see why having different cards for different types of spending might suit. I do something similar. At the end of the day, as long as you can keep on top of the admin and you're happy with it, go with it.

@mynameiscalypso 7 cards aren't likely to damage your credit file, it's more about credit utilisation than how many cards you have i.e. of your available credit, how much are you using at any given time? As long as OP is paying them off and not leaving substantial balances, there should be any impact on the credit score.

I actually had 6/7 cards because I wanted to build my credit rating, the combined credit limit helped me keep my overall credit utilisation low.

Yanbu. If you are keeping them paid off, have a good credit rating then fine.

I found my credit card companies in the past would unilaterally increase my credit limit to encourage me to get into debt I assume, but I think they no longer do this.

I do find it preferable to actively manage the credit limits to keep a big limit on my “favourite” card in case of big purchases. And I will from time to time close cards where the original benefits have been trimmed by the greedy corporate bankers.

Meh.
If it's all under control, what does it matter?
Personally, I couldn't cope with all the bills, but that's my way of working. It obviously works for you.

We have one with Mastercard, and one with visa.
Works for us.