How many credit cards for excellent credit

How many credit cards should you have if you want an excellent credit score? A credit score is a personal rating that determines the interest you pay for a loan, or whether you qualify for a loan at all. It's calculated based on payment history, how much you owe, your length of credit history, the types of credit you have and how often you apply for new credit.

Are they keeping their balances low relative to available credit limits? Still, it's useful to consider the wallets of people with great credit. In a recent analysis, FICO found that cardholders with scores above — the excellent range is to — had an average of three open cards, according to Dornhelm. If you include both open and closed accounts, they'd had six cards in total. At 18 he ran away and saw the world with a backpack and a credit card, discovering that the true value of any point or mile is the experience it facilitates.

He remains most at home on a tractor, but has learned that opportunity is where he finds it and discomfort is more interesting than complacency. She has visited over 45 countries and lived in Thailand, China, and Ireland where her son was born. Her kids have over 20 stamps in their own passports.

Her passion lies in showing families how to travel more while keeping their savings and sanity. Her guidebook, Disney World Hacks, is a bestseller on Amazon. Select Region. United States. United Kingdom. Chauncey Crail, Dia Adams. Contributor, Editor. Editorial Note: Forbes Advisor may earn a commission on sales made from partner links on this page, but that doesn't affect our editors' opinions or evaluations. Find The Best Credit Cards For No single credit card is the best option for every family, every purchase or every budget.

Learn More. Click Here To Apply Now. Forbes Advisor created additional star ratings so that you can see the best card for specific needs. This card shines for this use, but overall the star ratings may differ when compared to other cards. Welcome Bonus None. Regular APR Credit Score Excellent, Good - Why We Picked It. To earn cash back, pay at least the minimum due on time. After that, the variable APR will be Balance Transfers do not earn cash back.

Intro APR does not apply to purchases. If you transfer a balance, interest will be charged on your purchases unless you pay your entire balance including balance transfers by the due date each month.

This is just one scoring method and a credit card issuer may use another method when considering your application. These are provided as guidelines only and approval is not guaranteed. Partner Offer. High reward potential on flights and hotels booked through American Express Travel Multiple credits can help justify the fee Comprehensive airport lounge access Luxury travel benefits and elite status with Hilton and Marriott with enrollment.

High annual fee Maximizing the statement credits takes some work and could be unworkable for many Reward rate outside of travel is sub-par for a premium card. Plus, earn 10x points on eligible purchases on the Card at restaurants worldwide and when you Shop Small in the U. Enrollment required. Terms Apply. Was this article helpful? Compare rewards programs among the best credit cards for people with excellent credit until you find the right fit. Rewards credit cards often dole out bonus points in specific categories, and these bonus earning rates can help you maximize your rewards.

Make sure you pick a rewards credit card with an earning rate that aligns with your spending. Check for cardholder perks you might care about, which could include annual travel credits, airport lounge membership, elite status at hotels and more.

Finally, check which cards offer introductory rates for purchases, balance transfers or both. Introductory APR offers can help you save on interest if you use them wisely. The table below compares the best credit cards for people with excellent credit in terms of their rewards rates, annual fees and notable benefits.

If you're eager to learn more about the best credit card offers for excellent credit, the internet provides a treasure trove of data. You can:. Having good or excellent credit makes managing your finances significantly easier. People with great credit don't have to struggle to borrow money when they need it, and they get their pick of the top rewards credit cards.

Not only that, but consumers with excellent credit also qualify for better credit card fees and interest rates, as well as targeted credit card offers the general public never sees. What better credit means for credit cards The best credit cards for people with excellent credit come with more lucrative rewards rates and sign-up bonuses, but that's not all. By contrast, credit cards for fair credit or bad credit tend to offer fewer benefits — or no benefits at all.

They also tend to charge higher annual fees and interest rates that can make having poor credit expensive and stressful. Other impacts of excellent credit Excellent credit also paves the way to better terms on other financial products, such as mortgages , auto loans and personal loans.

Individuals with excellent credit are more likely to be approved when they seek to borrow money, and they get overall lower interest rates and better loan terms. Excellent credit can help individuals qualify for preferential insurance rates and may even help them land a job if an employer asks to see a modified version of their credit report for hiring purposes. The selection of credit cards you're eligible for will depend largely on your credit score and your credit history.

However, it's not surprising that cards with the best rewards and terms go to those with excellent credit scores. This includes cards with the most lucrative rewards schemes, sign-up bonus offers and cardholder perks.

According to the Federal Reserve , the average credit card interest rate was However, individuals with fair credit are typically eligible for offers with considerably higher rates.

Having excellent credit takes time and work, but you'll reap plenty of benefits once you reach the threshold for good credit or an exceptional credit score.

Here's how you can maximize the status you have worked so hard to earn. When you have good credit or better, you may be in the position to negotiate better loan rates and terms.

For example, you can call your credit card issuer and ask for a lower interest rate, and it's possible they'll say "yes. Not getting the answers you want? Having excellent credit puts you in the position to refinance loans you have into new ones with better rates and terms. With excellent credit, you may be able to refinance your mortgage and score a much lower interest rate, a lower monthly payment or both.

The same is true for personal loans, auto loans and other loan products you have. When it comes to the best credit cards for people with excellent credit, there are no rules that limit you to just one. Many people with great credit and solid incomes pair several different rewards credit cards so they can rack up more points on their spending and qualify for more cardholder perks in the process.

Finally, you'll need excellent credit to qualify for a balance transfer credit card or a personal loan with the best rates and terms. Either of these options can help you consolidate high-interest debt and pay it down faster, saving money along the way. Individuals with excellent credit don't need to reach a specific income threshold or come from a certain type of background.

To get an excellent credit score, all you need to do is take on a handful of habits that let the credit bureaus know you take your financial health — and your credit — seriously. For example, you should strive to pay your bills early or on time, keep revolving debt at a minimum and refrain from opening or closing too many accounts. Generally speaking, people who have made credit mistakes in the past may need to spend a year or longer fixing their credit.

Picking up a credit card for fair or poor credit or even a secured credit card can help in that effort since monthly payments and overall credit history will be reported to the three credit bureaus, thus helping to boost your score. Ideally, you will use an inferior credit card until your credit has improved enough to qualify for one of the best credit cards for excellent credit.

If you have a thin credit profile, on the other hand, you may be able to begin working toward good credit over the span of several months. Once again, a credit card for fair credit or a secured credit card can help you build your credit history so you can qualify for better rewards credit cards later on. Need help improving your credit score? A credit card can help, but only if you pick the right one and use it wisely. Read about the best credit card do's and don'ts for people with average or "fair" credit or poor credit.

Once you have great credit, most of the hard work has already been done. At this point, all you have to do is stay the course, treat your credit with care and avoid common credit mishaps that can cause your score to plummet.

The best credit cards for excellent credit offer exceptional rewards and perks you can use, but that's not all. They can also help you build or maintain great credit you can benefit from for the rest of your life. The following questions and answers can help you learn more about building and maintaining excellent credit, as well as finding the right credit card.

Many credit cards offer specialized rewards or other benefits that can be added perks to your regular spending. If you like racking up rewards points, you might want to explore the best cards to maximize grocery, travel or gas spending or ones that offer cash back. If you want to keep things simple, that's fine too. Focus on the credit habits you follow, regardless of the number of cards you carry. Paying on time and not using too much of your credit limits have a powerful effect on credit scores.

There are benefits to having multiple credit cards, but there are also potential challenges to consider, too. Each application for credit causes a " hard inquiry ," which can ding your score by a handful of points. The effect is small and fairly short-lived. However, applying for multiple credit cards in a short period of time can be interpreted as a sign of credit risk, and all those hard inquiries add up.

Spacing credit applications about six months apart can prevent multiple hard inquiries from affecting your score. This might seem obvious, but the more credit cards you have, the more due dates and credit limits to keep track of.

One solution is automating monthly payments or changing your due dates to the same day or to align with paydays to make sure you remember to pay your balance in full. You can also sign up for a free credit score dashboard with NerdWallet to track your credit utilization, spending and more.

Applying for a single credit card can ding your credit score but the points will return in about six months.

Keep this time frame in mind and hold off on credit card applications. Here are a few things to keep in mind if you're thinking of opening or closing a credit card:.