How many cards?

kevster_2

Hi All

As above - how many credit cards is it advisable to have? I currently have 7 cards with a bout 30k limit total. Only one now has interest free on Bt's which is all i use them for (car ins, servicing etc).
It it worth while to start cancelling some so i become valid for new offers in the future? (they hate it when you cancel i know) What other benifits/Disadvanages are there with alot of them?

Thanks

Kevin

Cardinal-Red

Accepted wisdom seems to be never ever to cancel your Egg card - it is the ultimate stoozing vehicle (as well as the anniversary offers). But what happens if the proposed takeover goes through we shall wait and see.

Aside from that, it all depends on personal factors like are you a homeowner, your salary etc. Some lenders operate a system of measuring your total available credit compared to your salary (Halifax for example did this with me) so in those instances cancelling your 0% cards is a good idea.

Also some companies like to see long term relationships so maintaining one or two cards over a long period of time is possibly recommended?

Watch out for those credit searches though!

RoxR

Hi, I'm new to this too. This thread applies to me as well, I think!

I am coming to the end of my 0% interest on Egg (the Tart reminder works!), and want to transfer it elsewhere. I also have an outstanding balance on a Barclaycard which is not 0% - it is the remainder of the debt which wouldn't go onto the Egg card - I was quite disappointed when the amount of credit they offered me wasn't enough to swallow the whole debt (which is less than £5000). I've been concentrating on paying off as much as I can afford on the Barclaycard, but need to move the 0% balance.

I was going to ask if I should cancel any credit cards that I've moved away from - then saw the comment about not cancelling Egg! Why?

I keep getting mailings from Barclaycard telling me about great offers but as an existing customer those offers don't apply - I think.

Is it advisable to keep applying for cards and adding to the collection, keeping them open even if not used - or should they be cancelled as soon as the balance is moved away? If I cancelled my Barclaycard would I be right in thinking I could reapply and get the new customer offers?

I also have a Lloyds credit card with a very small debt on it that I have had for ages (not the debt, the card!) - should I keep this to show a long term relationship?

To add more confusion, I'm about to start a job where I will need to pay for petrol up front then claim it back - should I get a separate card with 0% on purchases for this purpose only as it would hopefully be paid off each month?

I'm sure the answers are all here somewhere but the more I read, the more unsure I get - I THINK I know what to do but don't feel confident enough to do it.

Can someone please just give me a clear instruction?

Many thanks!

InsuranceLiability

Cardinal-Red wrote:

... Egg card ... what happens if the proposed takeover goes through we shall wait and see....

What proposed take over?

kevster_2

any more know about this take over or advice on the post title please?

Walletwatch

Has been in the news for some time now that Pru are out to sell them, but has there been any recent development?

kevster_2

Al_Mac wrote:

If you have a credit card you do not need, get rid of it.


White data is growing in popularity. That is the sharing of financial information about your customers. At some point there will be a database listing lots of your info.

When they do the credit check, they will then see how many, how much credit, and how much you owe. The more cards they see. the worse it's got to be.

Keep things simple and modest.

Basicly what i was thinking, but i only Owe a bit on one card at a time, have got a large amount of credit availible - but never go 'in debt' more than i can afford as such. so they would jsut see alot a credit not debt if that makes sence.

Reaper

RoxR wrote:

I was going to ask if I should cancel any credit cards that I've moved away from - then saw the comment about not cancelling Egg! Why?

Because:
1) Egg can balance transfer money to your bank account free of charge. So you can stooze money from 0% deals on other cards to Egg and then pass it on to your bank account.
2) Egg offer an additional 5 months 0% on balance transfers starting on the anniversary of when you took your card out.

Is it advisable to keep applying for cards and adding to the collection, keeping them open even if not used

I generally recommend closing cards you won't be using again. One thing a new credit card company will look at is how much available credit you have. If you already have lots of cards your total credit limit will look high when compared to your income and they might wonder why you want more and be worried about giving you a card in case you start spending on them all.

If I cancelled my Barclaycard would I be right in thinking I could reapply and get the new customer offers?

Eventually. Most cards consider you a new customer again after 6-12 months.

I also have a Lloyds credit card with a very small debt on it that I have had for ages (not the debt, the card!) - should I keep this to show a long term relationship?

Don't know. I'm not sure how important this is in credit scoring. Perhaps you could ask them to drop the limit down and keep it. That way it won't be doing you any harm and may be doing you good.

To add more confusion, I'm about to start a job where I will need to pay for petrol up front then claim it back - should I get a separate card with 0% on purchases for this purpose only as it would hopefully be paid off each month?

You could do, but if it will be paid off each month then how about a cashback (or points) card instead?