otherwhitemeat wrote:Is this really necessary?
Define your notion of necessary. For some it is. For some it isn't. Even if it isn't life isn't solely about what's necessary. Do you only use what's truly necessary -- food, water, shelter & air? Probably not.
Preferences/needs/wants/budgets/etc all vary from person to person. Your $4K total limit wouldn't accommodate my monthly spend, for example. The different rewards I get aren't necessary but they do make for a lot of gravy. The different benefits I get aren't necessary but they're even more gravy. I recently opened an AmEx card account primarily for the effect on AAoA since it backdates to 1998 for me.
otherwhitemeat wrote:I mean i know the benefit of having the large unused credit available, but is that the only reason to have so many cards?
Not at all. Again, reasons vary from person to person and there are many potential reasons whether it's rewards, benefits, lowered utilization, chasing sign on bonuses, the buzz of having many cards or whatever.
otherwhitemeat wrote:Does having multiple cards help your credit by having more positive reports to your credit?
If you know the benefit of having large unused credit available (low utilization) then you should understand the positive effect it has on one's credit. If my credit limits equalled my monthly spend I'd have very high utilization. Instead, my utilization is <5% due to my total credit limits which is ideal.
otherwhitemeat wrote:How often should you use the cards so the bank doesn't close them on you?
Depends on the bank. They don't all have identical policies. I use all of mine at least once a month but that's really just my preference as I find it easier to keep track of things.
Z06Biker wrote:What would the 22-24 other accounts be comprised of? Houses, boats and cars?
Student loans, closed accounts... They don't all have to be open. I have well over 20 but a much smaller number of open accounts.
rockyrock wrote:Bottom line is you need to do what is best or works for you.
^ Like many topics in life, this.