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6 Ways to Manage Multiple Credit Cards with Ease

Updated on: 04 Jan 2024 // 3 min read // Credit Cards
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Making a choice is difficult, either it is choosing the best pair of shoes or handbags or dresses and even Applying for Credit Cards. With a variety of Credit Cards having rewards and benefits of different types, it has become routine for an individual to carry more than one card. You may or may not be a shopaholic, but would love to keep a card which gives you a cashback every time you or your wife shops from it. A special discount on a tour package to the travel destination you longed to visit, sounds tempting enough for you to say a yes for another card. Whatever may be the reasons behind, one thing is likely – every time a fresh, luring scheme will be confronted by you, the possibility of a new add-on in the existing list of Credit Cards you have is remarkably high.

But how to manage several cards at the same time? No doubt, there are numerous benefits of having multiple Credit Cards. However, you should be aware of the smart moves that can help you manage multiple cards like a pro.

1. Clear Away Any Outstanding Balance

The rate of interest charged on Credit Cards is generally high. There is no point in keeping a reward card if you are paying a high amount as interest as compared to what you get in return. Try not to maintain a balance payable on your card for an extended period. Pay it off in time, every month and if you do not have the time to perform this manually, or you forget your due date, an automated online bill-payment software is of much help.

2. Ask Questions

A new user may not understand the usage of the card entirely. In such a case, give a call to the card issuer to clear doubts you have. Ignorance is not blissful in matters involving money. You may not know, but if you call the card issuer to waive off any late fee, and accept the monthly payment, they may happily do so.

3. Annual Fee

Prefer not to keep a card for which you have to pay a specific amount annually even when you do not use it. And in case you do, put a reminder for the due date and try your luck, if you could get it waived off as well.

4. Choose the Right Type

Cards have benefits including travel insurance, extended warranties, fraud protection and so on. When purchasing a food processor, you would not want fraud protection, but an extended warranty is an excellent choice when shopping for electronic goods. Choose your card wisely. You can browse through multiple Credit Card offers from different providers at MyMoneyMantra, compare the offers and apply for the card that suits you best.

5. Control Your Cravings and Monitor Your Purchases

When shopping at your favorite retail store, you do get out of control sometimes. Keep a check on how much you spend and what is the credit limit for every card. If it is difficult to memorise it, place a sticker that reads the exact amount you can take on credit and which you can conveniently repay at the end of the month.

6. Take Good Care of Your Credit Score

The credit score is dependent on the following criteria:

Payment history: 35%

The amount owed: 30%

Length of credit history: 15%

New credit: 10%

Types of credit: 10%

If you paid off the debts on time, what amount did you take on credit until now, for how long is your card operational and the type of credit/reward cards you possess, everything affects the credit score. For receiving the benefits of all the cards you have, maintain a healthy financial rating. Ensure that your Credit Card does not negatively impact your credit score even after shopping excessively. One smart move for multiple Credit Card users is to make the repayment from one single bank; this helps in keeping track of all the transactions. Credit Cards increase your spending capability, but you need to be careful while selecting necessary expenses to be made and ruling out the irrelevant ones.

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