Does having more credit cards affect credit scores?

Yes, having multiple credit cards can impact your credit score both positively and negatively. According to RBI guidelines, responsible management is key to maintaining a healthy credit profile.

• Positive Impact: Multiple cards increase your total credit limit, which can lower your credit utilization ratio if you keep spending low.
• Negative Impact: Frequent applications for new cards trigger multiple hard inquiries, which can temporarily reduce your score.
• Management: Holding several cards can make it difficult to track multiple due dates, and missing a single payment can significantly damage your credit history.