Why so many credit cards in your wallet?
As with the bank accounts, Credit cards too started as fun and prestige and later became an irritation.
When I opened my bank account with a foreign bank in 1997 (thanks to my employer) I got a credit card as well from them and it pleased me to no end. I would seldom use my card and paid the outstanding balance fully on time (more about this later)
And then another foreign bank offered me a Gold Card which helped me purchase petrol without paying the surcharge (my usage was pretty limited on this card as well). This was followed by a private bank which gave a gold card free of any charges and backed it with another co-branded card. Over time I have given the first card back to the bank and am keeping 3 cards in my wallet.
I never use the revolving credit nor transfer any borrowings across cards. Yet, at the time of purchase, I am confused as to which card do I use? Sometimes, I go by the cycle date and otherwise I use what comes out of my wallet first.
I am really amazed at how many people manage atleast 5-6 cards (the insurance benefit on cards being withdrawn may be a dampener to some guys I know). But many of these guys, thanks to very complex operations that they run, tend to pay out quite a tidy sum as interest charges, penalty, late payment charges etc.
I am personally ok with the 2 (the third card is more an add-on to the second) cards and so can most people who want the comfort of the cards and also be peaceful!
