According to a Credit Karma report, the average American has 2.5 credit cards. Some have two; for others, it’s three. The number is all over the place, which raises the question–how many credit cards should I have?
There’s no perfect answer like so many other things in life because personal finance is personal. However, you can use some essential criteria as a guide.
If you use a credit card, be sure to do it wisely. Credit can enhance your financial situation or destroy it.
Here’s a list of good credit card habits to build.
2) Pay the monthly balance before the due date. There’s no rule that you have to pay the balance on the due date. Instead, pay the money back to the credit card as you spend it.
3) Check your credit score regularly. Pay attention to your credit utilization and credit score with credit reporting agencies like Experian, Transunion, or Equifax.
5) Look for cards with no annual fee and low-interest rates. Building your credit with a credit card is acceptable. However, you don’t want to pay more than you have to.