Why I Open at Least 1 New Credit Card Every Year

Why I Open at Least 1 New Credit Card Every Year It’s how we make money. But our editorial integrity ensures that our product ratings are not influenced by compensation. Image source: Getty Images Opening lots of credit cards usually isn't recommended. It gives you more accounts to manage, and there's always the risk of slipping into credit card debt if you're not careful. Most Americans keep just one or two cards in their wallet. I don't. I open at least one new credit card every year -- and I've been doing it for a long time. I'm firmly in the small group of people who carry several cards, and I keep adding new ones because, for me, it's been a reliable way to save money and unlock extra perks. This isn't something I'd suggest to everyone. But if you're comfortable staying organized and paying your statement balance in full every month, opening the occasional new card can come with some big advantages. Welcome bonuses worth $300 to $1,000+ The biggest reason I keep opening new credit cards is earning welcome bonuses. Many cards offer either cash back, miles, or points for opening a new card and spending a certain amount within a few months. Here's how I look at it: I'm already spending money on normal expenses like groceries, shopping, kids activities, and everyday life. If I can put that same spending through a new card and earn a bonus along the way, why wouldn't I? The key rule is the spending has to fit your normal budget . If a card requires $4,000 in spending within 90 days and you'd need to stretch or overspend to get there, skip it. The bonus isn't worth it if you have to inflate your spending. Personally, I lean heavily toward travel credit cards . Between points and miles from welcome offers alone, I typically earn well over $1,000 a year on flights and hotels. But cash back cards can be just as powerful if you prefer simplicity. See today's best sign-up bonus offers and find one that fits your normal spending. Getting a wider range of benefits and perks Different cards are good at different things. That's why having more than one (and adding new ones over time) really pays off. I've been able to stack benefits that make travel easier and everyday spending more rewarding. One card can cover airport lounge access and reimburses my Global Entry or TSA PreCheck® fee. That means shorter security lines and a much calmer airport experience. Another card gives hotel perks like free night certificates and elite status, which gets me room upgrades and free breakfasts I'd otherwise pay for. Even if you're not into travel, having more than one card can still make sense. You might start with a card that earns extra cash back on groceries and gas . Later, you add one that earns more on dining. The trick is to make sure you're not taking on too many annual fees....

Preview: ~500 words