Second Credit Card

SJCSue

SJCSue

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I have been thinking about getting a second credit card. I always pay off my credit card every month. I know which one I would get. Should I get a second credit card or not?
 
SJCSue said:
I have been thinking about getting a second credit card. I always pay off my credit card every month. I know which one I would get. Should I get a second credit card or not?
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Do you wish for another one for a completely different reason than you have the first one for?
 
Tousi said:
Do you wish for another one for a completely different reason than you have the first one for?
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The first one is a basic credit card (which I got to start my credit history in college) without a rewards program. The new one would have a rewards program.
 
If you would like have some 'vacation' or visit family the 'earn mileage' would benefit for you... but you may want check if the mileage that will rollover...
 
zerodog said:
If you would like have some 'vacation' or visit family the 'earn mileage' would benefit for you... but you may want check if the mileage that will rollover...
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I am spilling the beans. I am looking at the Barnes and Noble credit card. The "rewards" would be free gift cards (when I shop everywhere except B&N) and 5% back when I shop at B&N. I am a huge reader so this card will benefit me.
 
SJCSue said:
I am spilling the beans. I am looking at the Barnes and Noble credit card. The "rewards" would be free gift cards (when I shop everywhere except B&N) and 5% back when I shop at B&N. I am a huge reader so this card will benefit me.
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I would only have the one. I have a similar reward program, and I just use it for shopping expenses and then pay it off each month.

It is fun to get free stuff just for using the card for your living expenses.

It also saves money since it is just one bill to pay and not using a lot of checks or getting bank fees for transactions.
 
Nope, I would not get another credit card unless you want to go into a debt.

Wait a minute let me put it in another term... Avoid credit card or Pay high interest rate... which one?


Reward is nothing but a slick advertising ...
 
I would look into switching your current credit card to another one that would suit your needs better call the 1800 number on the back of your card and ask what they can do for you with regards to switching it and the interest rate etc OR get the barnes and noble card and close/cancel the one you currently have
 
I have 5 CC :aw:

and all 4 have $0 debt. why? diversity. and fastest way to build up a credit history.
 
If you pay your full balance off each month, it's not really a problem to have more than one card. You only go into debt if you SPEND on it without paying it off. If you pay if off completely each month then who cares about a high interest rate? It won't apply to you. Credit cards aren't the devil unless you don't know how to use them properly.

However, if you are looking into getting a loan, and you have multiple credit cards it becomes a hassle. Even if you don't have balance on any of your credit cards, it still works against you. It's calculated by what is called your Gross Debt Service Ratio. It's one of the tools they will use to evaluate your loan application. Loaners see it as AVAILABLE credit to you, so you will either not get your loan or not as much as you wanted. The way to fix that is to simply cancel the ones you don't use.

Credit is not a problem as long as you know that it's not your money and are wise with it. Rewards systems are great too.
 
What's the reason for getting a second credit card?

If it's a different credit card brand, then that's reasonable since some places only accept one kind while other places accept other kinds.

For instance, I know that some places do not accept American Express.

If it's a different card to be used in emergencies, then that's also a good idea.

I have a friend who has several credit cards. He has a VISA, Discover, American Express, and Mastercard. The VISA is for Best Buy. So, when he shops at Best Buy... he gets lots of bonus points to use for future purchases. His American Express has frequent flyer benefits. Since he flies a lot for work, it benefits him. His Mastercard has hotel benefits. His Discover has big personal benefits, but he can't use it everywhere. That's why he has the other cards.
 
Jiro said:
I have 5 CC :aw:

and all 4 have $0 debt. why? diversity. and fastest way to build up a credit history.
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Too many credit cards can have an adverse effect on a credit score. I have only one major credit card and my credit score is outstanding.
 
No credit cards for me....paid them off and cut them up years ago and glad I did, with this economy!....I do have my Visa debit and that's all I need.....The temptation is too much for some people, to overspend on things they really cannot afford....if I can't pay cash for something, then we don't need it or cannot afford it right then.....I still go with the notion that....."nothing is worth having if it's not worth waiting for."....and to me, that means to save and save for things that we would "like" to have....as I've saved enough to buy a new Computer for the boys' birthday next week...it's a good feeling not to have to make monthly payments. And to feel that I "own it, fair and square"....not the credit card or the Bank.
 
Banjo said:
Too many credit cards can have an adverse effect on a credit score. I have only one major credit card and my credit score is outstanding.
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Yup, it's true!

Even if someone has several cards and not use half of them with zero balance, for a sample, do not help credit rating either.
 
Credit cards suck your soul out of your life. Don't get a second one if you can't afford to pay both off.
 
Sure you can get a second card with reward points. Even so, make sure you use a scissor and cutting the first one card! :)
 
Thank You!

:ty: for your suggestions. The credit card that I have now is my oldest card, which proves I have a credit history for a few years. If my understanding from a personal finance blog is correct, it is not a good idea to cancel/close your oldest credit card. In my case, it may look like I just started a credit history instead of having a credit history for a few years.
 
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