The number of credit card users in the past one year has increased by almost 75 lakhs in our country. A major chunk of this population consists of existing credit card holders and opted for another one to get the best benefits of both the cards. There are a number of benefits of having multiple credit cards including being able to use the best credit card as per the needs of the situation. Some of the other benefits are as follows -

Earn More Reward Points

Different cards offer a varying range of credit points based on the nature of the purchase. Thus, you can divide your purchases to earn the maximum rewards. The benefit here is instead of having all your points accumulated on one card and not being able to use it, you can earn on the most on both the cards and redeem them as per the redeeming catalog provided for each card.

Improves Credit Score

When credit bureaus notice that you use multiple credit cards and yet are able to stay within your debt utilization limit, will help you better your credit score significantly. The improved score can later help in getting loans approved.

Serves as A Backup Card

There are instances where due to a technical glitch, your primary card can get declined or does not accept the type of card you are offering, you can use your other card as a back-up.

There are some lenders who provide a RBL credit card which provides the facilities of four cards in one. These include a credit card, cash card, loan card, and EMI card - all in one. If you do not know about this card, contact your card issuing authority or check their website for more details.

Read: Should You Have More Than One Credit Card?