Image source: Getty Images
My wife and I have opened 22 credit cards together over the last seven years. I know, that sounds nuts. But we pay everything off, we’re extremely responsible users, and honestly we’ve racked up well over $15,000 in rewards and sign-up bonuses.
There’s no magic number of credit cards that counts as “too many.” What matters is whether you can actually manage them.
For context, most Americans have one or two credit cards, and only about 13% have four or more, according to Motley Fool Money research. So we’re well off the map.
Here’s what I’ve noticed when you open too many.
Your credit score goes up and down like a yo-yo
You’d think 22 cards would’ve wrecked our credit. It’s actually done the opposite.
My FICO® Score right now is 834, and my wife’s in the low 800s too. Our scores have taken big hits over the years, sure, but they always smooth out.
Here’s the pattern I see every time I open a new card:
- Right after applying: A small dip in credit score from the inquiry and the younger account age.
- A few months in: Utilization drops as my credit limit grows, and the score climbs back.
- A year or so later: The inquiry falls off and the account seasons, so the hit disappears.
I can’t stress this enough: The absolute most important factor for your credit score is paying off your credit cards in full, every month. With good responsibility comes good credit.
The big welcome offers start to dry up
The longer you play the credit card game, the harder it gets to find offers worth chasing.
I know this first hand. Eventually you run out of the good $750+ welcome offers, and begin chasing the $200-$250 welcome offers instead. Some cards are worth it, but it definitely hits a point of diminishing returns.
One recent trend I’ve noticed: Many credit card issuers have moved to a “once-per-lifetime” rule for sign-up bonuses. Once you earn an offer, you can never get it on that card again.
Some of my favorite cards used to reset every 48 months, so you could apply and earn the welcome offer again. But now with the new rules, the best options shrink over time.
If you’re earlier in the game, check out these top travel credit cards which tend to have the juiciest welcome offers to begin with.
Some issuers get annoyed and start saying no
If you open enough cards, some banks will flag you as a points-chaser and simply stop approving you.
Personally, I’ve been denied on my last few Citi card applications, and Amex too. There’s no clear reason for the denial. Regardless, I’m taking it as a sign to back off and slow down.
My advice here for anyone wanting to stay under the radar: space out applications, don’t close cards immediately after you earn a bonus, and spread applications across different issuers.
Keeping track of them all becomes a bigger hassle
The hardest part of applying for and testing a bunch of cards is staying organized.
You have to stay on top of annual fees, due dates, which card earns what, application and close dates, etc. You’ve got to be a great note taker!
I’m a freak-in-the-spreadsheets, so tracking has never been an issue for me. Writing about credit cards is part of my job, too, so I naturally know about the features and stuff.
But I know plenty of folks paying annual fees on old cards they never use, and that’s money going nowhere. If you can’t keep tabs on every card, that’s your real limit.
My honest take after 22 cards
I’m an extreme case — most Americans just have one or two credit cards.
So applying for one or two more isn’t going to kill you. And if you want to go way higher like I have, that’s probably fine too.
Just stick to the best practices: always pay on time, space out your applications, and keep track of what you’ve got so it doesn’t get overwhelming. That’s the whole secret, honestly.
If you’re thinking about adding one, here are the best credit cards worth a look now.
Alert: highest cash back card we’ve seen now has 0% intro APR until nearly 2028
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes.
We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.American Express is an advertising partner of Motley Fool Money. Citigroup is an advertising partner of Motley Fool Money. JPMorgan Chase is an advertising partner of Motley Fool Money. Joel O’Leary has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends American Express and JPMorgan Chase. The Motley Fool has a disclosure policy.
