As a smart consumer you have surely discovered the savings and benefits of carrying multiple credit cards and fine tuned the art of using the correct card at the correct occasion. You may have one card you use to fill up gas with due to the gas rebates you receive, another to pay at certain bookstores and restaurants due to the benefits your student credit card offers at those locations and perhaps even use a third low interest credit card for your larger purchases.
Many retail chains encourage you to sign up for their house brand credit card offering you special member savings when purchasing with their card and often offer a nice sign up bonus discount on your first purchase. All these benefits are great and if you manage them correctly, they can add up to significant savings on your monthly expenses.
However, there are a few things you should keep in mind when applying for multiple reward credit cards to avoid common problems. Too many credit card applications in a short period of time can negatively affect your credit rating and declined applications have an even worse impact. As a rule you should never apply for a new credit card while you are awaiting approval on a previous application. Also, don’t apply if you think there is a good chance you won’t be approved. You are better off going for a lower grade card (silver instead of gold or platinum etc.) than risk being denied and harming your credit score.
