@longtimelurker wrote:
@kdm31091 wrote:
@sarge12 wrote:
@galahad15 wrote:Personally, I think that having a wide range of available cards, both in terms of rewards and APRs, is an advantage. Why? If you have multiple cards below 10% APR and one or more lender RJ's you, you still have that many cards leftover where the lender did not RJ you. Same deal with rewards -- one of the reason I carry four 2% rewards cards is, as we know, lenders can nerf or eliminate rewards programs at any time. So for example even if 3 lenders were to nerf 3 of my 2% rewards cards, I would still have the one left over that wasn't nerfed. Therefore, having deliberate, built-in redundancy in terms of rewards and low-APR cards is, in mho, an asset and a way to give yourself automatic backup cards and insurance, should a lender decide to RJ or change/eliminate rewards programs.
This sounds like something I would come up with if I was trying to justify my credit habits. Really 4 2% cards in case 3 lenders were to nerf cards at one time, are you serious? If something so ridiculous was to occour...ok...you only get 1% reward. I'm sure you and your cards could weather the shortfall. It would not cause a catastrophy!
Pretty much. Not the end of the world.
And if one card nerfs for whatever reason, you can get another at that time (there is usually some notice of term change). Now if three are nerfing because of some economic meltdown, it is a) pretty likely that the fourth would as well, and b) this wouldn't be the biggest of your problems.
It's a little similar to "I need 500K in CL, for utilzation" type stuff.
True, but there were some pretty good rewards cards out there that had a limited-issue run, were only appable for a certain amount of time, or who are no longer open to new apps...
@sarge12 wrote:I guess I go to equal extremes on some things....I have about 15 firearms....just in case 14 of them fail. Not really, I just like my guns!
Not sure what kinds of rewards cards you have atm, but all I can say is, if some/all of your favorite rewards cards were either closed out or had the rewards programs eliminated, how would you feel about it? I'm guessing you most likely wouldn't feel too good...
Another example: almost all non-CU fixed-rate APR credit cards were changed to variable rates or closed out during CARD Act. If you only had one fixed-rate card at that time -- due to not wanting redundancy -- and the lender RJ'd you to a high double-digit variable rate, I'm guessihg you would not be very fond of that lender any more? Alternatively, if you had some built-in diversity amongst your card portfolio, and had a second fixed-APR card that wasn't RJ'd or CIT'd during CARD Act, you still come out winning. Something very similar happened to me during CARD Act, where I had multiple fixed-rate cards, and all but one were closed out, that I still have to this day. All in all, I don't think it was a bad decision to make.
ETA: adds/corrected typos
