It’s a very important question in today’s economy and financial construct: how many credit cards should a person have? Most people have at least one credit card these days, but is that enough? Or is one all you need? Perhaps one is actually too many, and it’s better to have no credit cards at all?

No cards at all

Some people will tell you that having no credit cards is the best thing you can do if you can manage your finances well enough to never need one. This does have the advantage of completely preventing you from gaining any credit card debt!

However, there are distinct benefits to having at least one credit card. Namely, the ability to have that extra capital for an emergency and building up your credit score relatively easily.

Lots of cards

If you have a good credit score, you can practically fill your wallet with credit cards. This does give you lots of money on hand for an emergency, or even just big purchases you didn’t necessarily need.

Having lots of cards makes it extremely easy to get in over your head, however, and can lead to crippling debts if you fall behind on the payments. Too many open credit lines actually make some agencies consider you a higher risk as well, making them less likely to give you loans for important things.

No magic number

According to many financial experts, the magic number of credit cards a person should have varies depending upon their unique financial situation. Generally, people fall into one of several categories, from a young adult just wanting to build up a good credit score to a small business owner.

The best number of cards to have varies from person to person but always depends on the same factors. What do you need a card for? Can you afford to pay the payments on another card? Are you planning on making a major purchase in the near future? What is your current credit score? These and other questions will determine how many credit cards you should have.