Having more credit cards than your wallet can hold may not be ideal.

A person I once knew used to carry two separate wallets at all times. One contained the usual essentials like cash, driver’s license, and insurance cards. The other wallet was crammed with credit cards – every slot and even the cash pouch were filled with cards. It seemed nearly impossible to manage such a large number of credit cards effectively.

Each credit card comes with its own set of responsibilities. You need to keep track of due dates, billing cycles, rewards programs, and redemption schedules. Managing one or two credit cards is manageable, but having six or more might be overwhelming. It’s not just about adding more tasks but ensuring that you are maximizing the benefits from each card.

The main reason for having multiple credit cards is to leverage various rewards programs. Whether it’s earning airline miles, loyalty points from a favorite store, or other perks, the rewards should provide tangible value regularly. If you’re only getting minimal benefits from a card, it may not be worth the effort.

Holding numerous credit cards can pose financial risks. Juggling multiple payment schedules increases the chances of missing payments, leading to late fees and interest charges. If your cards aren’t delivering substantial benefits, it might be wise to close some of them to simplify your financial management and reduce potential complications.