any risk in having too many credit card

99°
Deal Cadet
anuraggarg
Sorry for too many questions but just try to understand the impact when going for a loan with having so many credit cards even with un utitlized  limit  
Disclaimer
We are not SEBI/IRDA registered. The information provided herein is for education purposes only. We will not be responsible for any of your profit/loss with this channel's suggestions. Consult your financial advisor before making any decisions.
Top Comments
Helpful Helpful
Link Copied

The point is leverage ....simply put if you have x as income  and if you have 4x as credit at any point of time you're over leveraged and may lead to default...so banks are risk averse  on highly leveraged individual loan disbursement....and your last world Is a Typo or what is uninted limit???

Generous Generous
Link Copied

Apart from this loan factor

1 more negative feature of having multiple cards that you may forget due date sometime which can cause problems in cibil.

Managing upto 10 cards at a time is mostly normal nowadays but above this very difficult and probability of forgetting due date is high.

So in short closing unnecessary cards is better.

Deal Cadet Deal Cadet
Link Copied

do we have difficulty in other loans(like home loans) if we have too many CCs

14 Comments  |  
11 Dimers
  • Sort By
Helpful Helpful
Link Copied

The point is leverage ....simply put if you have x as income  and if you have 4x as credit at any point of time you're over leveraged and may lead to default...so banks are risk averse  on highly leveraged individual loan disbursement....and your last world Is a Typo or what is uninted limit???

Deal Cadet Deal Cadet
Link Copied

KG for answer , last word is un utitlized limit .

View 1 more reply
Benevolent Benevolent
Link Copied

If U Apply Loan Manually They Will Also See Limits In Credit Card For Financial Risk Factors.


Assuming U Have Credit Card Limit 1 Lakh , If a Loan Agent Asked To Reduce Limit , Then U Call CC Customer Care To Reduce Limit From 1 Lakh to 50k.


Pre-Approved Loans No Problem About Credit Card Limits.

Generous Generous
Link Copied

Apart from this loan factor

1 more negative feature of having multiple cards that you may forget due date sometime which can cause problems in cibil.

Managing upto 10 cards at a time is mostly normal nowadays but above this very difficult and probability of forgetting due date is high.

So in short closing unnecessary cards is better.

Deal Cadet Deal Cadet
Link Copied
This is where cred or cheq comes to help if you add all your cards and setting one date to pay all cards also helps.
View 1 more reply
Deal Cadet Deal Cadet
Link Copied

do we have difficulty in other loans(like home loans) if we have too many CCs

Deal Cadet Deal Cadet
Link Copied
Same question
Deal Cadet Deal Cadet
Link Copied

Yeah, Income tax department will seize your assest. Be prepare brother 💪 ED will interrogate you regarding the purpose of so many cards. 😑😑


You are fine though as long as you don't do the money rotation. 

Deal Subedar Deal Subedar
Link Copied

hmm money rotation is not wrong though:) you might get IT notice if you do more than 10lakh rotation in a year in a single bank credit card or bank account, thats the only thing, its not really bad if you have all the proof papers of why you did the rotation :) hehehe


Benevolent Benevolent
Link Copied
The more cards you have more chances of forgetting bill payment.
Deal Newbie Deal Newbie
Link Copied
As long as you are paying your bills timely and keeping utilisation to optimal levels, there is no issue. People keep cards upto 15 with them, mostly LTF, and use only 3-4 regularly. Rest are all as an emergency backup.
Deal Newbie Deal Newbie
Link Copied

Having multiple cards is not a issue Infact its good startergy to save money, have many card. Just make sure you pay off your dues on time...

replyuser
Click here to reply
Reply