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<h2>Credit Cards: How Many Do You Need?</h2>by StevenJ.TalrechiHow many credit cards do you need? There is no one correct answer to this question. However, as few as possible is really the best advice - it is easy to go overboard with credit and common sense tells you to keep spending on credit under control. You know as well as I do that common sense isn't always what dictates the decisions people make though. There is a culture of instant gratification in this country - and while there is nothing inherently wrong with spending, there is with letting credit cards spending get out of control. Credit cards are the one of the primary enablers of compulsive spending. Let's have a look at some of the facts here: Fact # 1: On average, a cardholder will have three bank cards and four gas or store credit cards for a staggering total of seven credit cards! This statistic courtesy of www.cardweb.com. Fact # 2: Three fifths of U.S. households are responsible for nearly 560 billion dollars of credit card debt. This comes to $11,000 per household of credit card debt. This figure is from Motley Fool, citing testimony by Robert Manning before the U.S. Senate Judiciary Committee. Fact # 3: Minimum payments are low - why? When only small payments are made by the cardholder monthly, the consumer carries more debt over to the next month - and this means more income from interest payments for the credit card companies. Ask yourself: who makes out better from low minimum payments? Fact # 4:This fact comes from Jim at Blueprint For Financial Prosperity. Like cable and phone companies, credit card companies want to keep your business and will make concessions in order to retain you as a customer. If your interest payments are too high, call your credit card company - they will very often lower your interest rate. Fact # 5: There is a link between debt and depression. Studies (cited by Franklin Galvin, Secretary of the Commonwealth of Massachusetts) have shown that students who have over $1,000 in credit card debt have higher rates of drinking, smoking and are far more likely to be medicated for depression. Just some things to think about. Now how many credit cards do you think you need? We'd like to make it illegal to carry more than two cards, but realize we'd be run out of town on a rail were we to do so. Credit card spending is just too ingrained in our society. The point is, it's really no one's business how many credit cards you have. It may make your financial planner frown or your banker wince, but no one can tell you to cut up your excess credit cards. So let's compromise. If you have more than two to, say, five - why not leave three in a locked drawer and use only two if you really need to. Let's compromise further: when you receive your statements, how about making more than the minimum payment? Your aim should be to drastically reduce your debt. Christmas is almost here. You're at liberty to use your credit cards in any matter you want. This is the time of the year where everyone uses credit cards without holding back or thinking twice since the holidays always put us in a cash crunch. But do yourself a little favor. For your New Year's resolution, how about making a promise not to use your credit card more than once a month? This is like imposing some kind of military-like discipline, but then again, everyone agrees that uncontrollable credit can be compared to a cobra with a poisonous venom. A few more figures for you: Americans charge 1.8 trillion dollars annually (yes, that is trillion with a t). 11% of U.S. cardholders pay interest rates exceeding 25%! These figures come from the U.S. General Accounting Office. Isn't it about time we looked at our credit card spending more closely and conducted a self-criticism analysis? The best thing we could have is freedom from debt - and the statistics on debt carried by a lot of U.S. citizens bear this out. Don't let yourself become trapped by the cycle of credit card spending and debt - make getting out of debt your top priority this year. We know that not every person is willing or able to limit themselves to only two credit cards. If you can keep on top of payments and keep your spending under control, then you can have all the cards you like. Another suggestion, if we may - don't take your cards with you when you go shopping. If you have to pay cash for your purchases, you'd be surprised what you can go without. Patience is a sublime virtue. Why not wait until you have the cash to pay for it? For all you know, you just might decide that it was merely a whim - certainly something you can get by without!<h3>About the Author</h3>Steven J. Talrechi has been reporting on credit reporting and credit reporting practices for over 10 years. He specializes in assiting others with <a href="http://www.badcreditnic.com">second chance banking</a> and obtaining a <a href="http://www.badcreditnic.com">checking account</a> when they have been turned down by banks. Article Source <a href="http://www.free-article-submit.com">Free Article Submit</a>