| If you check your mail, one item that most | | | | Some credit experts suggest that having more |
| people are sure to see several times per month | | | | than three credit cards may be a red flag to |
| is an invitation to apply for a credit card. Credit | | | | many creditors and thus negatively effect your |
| card offers have inundated us, whether you are a | | | | credit rating. Creditors prefer customers with |
| college student or even a senior citizen. It seems | | | | manageable debt, the more credit cards you |
| that almost every bank and credit card company | | | | have, the more debt you can rack up. Even if |
| are in stiff competition to see who can offer | | | | you don’t use many of your credit cards, |
| credit to the most people as possible. However, | | | | there is still a possibility that you can always start |
| before you apply for your next credit card it is | | | | maxing out your credit cards and find yourself in |
| important to take several things into consideration. | | | | debt. |
| | | | Use Bank Debit Cards Instead of Credit Cards |
| How Many Credit Cards are Enough? | | | | There are much more advantageous financial |
| People love to collect items that are associated | | | | tools available besides credit cards that are just |
| with wealth and exclusivity; however one item | | | | as convenient. Debit cards are very similar to |
| that you shouldn’t collect is a credit card. | | | | credit cards in that they do not require you to |
| Having more than two or three credit cards can | | | | carry large amounts of cash around with you at |
| exacerbate credit issues usually due to the ease | | | | all times, however unlike a credit card, they are |
| in which a person can borrow beyond their | | | | tied directly to your bank account which means |
| means. For instance, if a person has only two | | | | besides a small yearly or monthly fee, there are |
| credit cards each with a limit of $3,000 each, the | | | | no interest payments since you are purchasing |
| individual will most likely be able to climb out of a | | | | items with your own money. Credit cards on the |
| credit hole if both credit card limits are maxed | | | | other hand are considered unsecured loans and |
| out. However, if you have five, six or more credit | | | | each purchase you make also requires you to pay |
| cards with a total limit in the tens of thousands of | | | | interest. This means that a purchase of $20 for a |
| dollars, it is no longer easy for a person to climb | | | | DVD, can end up costing you 50% or even 100% |
| out of a credit hole; in fact it can usually take 5 to | | | | more in the long run after interest charges are |
| 10 years for a person to pay off their debts in | | | | added. It is definitely something to think about the |
| many of these cases. In some cases the only | | | | next time you would like to purchase an impulse |
| resolution is bankruptcy. | | | | item. |
| | | | For those bombarded with credit card offers, |
| Having Several Credit Cards Can Have a Negative | | | | think before you apply for your next credit card. |
| Effect on Your Credit Rating | | | | |