Should I Get a Second Credit Card? When, What, and How

According to credit reporting bureau Experian, U.S. consumers hold an average of 3.9 credit cards. If you’ve been working with your starter card for a bit and are hoping to expand your wallet’s roster, you’ll be in good company.

Getting a second card makes sense for anyone looking to continue building their credit. The best second credit card for you will depend on which card gets you more than you’re getting back in rewards with your current card without adding an undue burden to your finances via fees or a high annual percentage rate (APR).

Key takeaways

• Be aware that taking on a second credit card means the potential to accrue more debt if you’re unable to pay off your cards in full each statement cycle. Only open a second card if you know it will help — not hurt — your credit.
• Your second credit card should earn rewards or cash back on spending categories that your current card doesn’t, allowing you to earn across more of your spending than before.
• If you’re early in your credit journey, it would be wise to avoid too many hard inquiries on your credit history due to credit card applications, so be discerning and only apply for a second card you’re likely to be approved for.

Why get a second credit card?

There are plenty of reasons to hold more than one credit card. Beyond the positive impact that maintaining two lines of credit in good standing can have on your credit score — and having additional credit to cover spending — carrying a second card could open up access to a different range of benefits.

Maybe you hold a cashback card like the Chase Freedom Rise^®, which earns a flat 1.5% cash back on all purchases. That’s great — you’re getting something back for your everyday spending.

But what about less common, often larger expenditures like booking airfare and hotel stays for an upcoming vacation? Holding a travel credit card that earns elevated rates on travel spending could optimize the amount you get back on those purchases while also getting you some benefits geared toward travelers.

The American Express^® Gold Card, for example, earns 3X points on flights booked directly with airlines or on Amextravel.com. It also comes with a baggage insurance plan that provides coverage for lost, damaged, or stolen carry-on and checked luggage when you use your card to purchase your fare.¹ <p>Baggage Insurance Plan coverage can be in effect for Eligible Persons for eligible lost, damaged, or stolen Baggage during their travel on a Common Carrier (e.g. plane, train, ship, or bus) when the entire fare for a Common Carrier Vehicle ticket for the trip (one-way or round-trip) is charged to an eligible Account. Coverage can be provided for up to $1,250 for carry-on Baggage and up to $500 for checked Baggage, in excess of coverage provided by the Common Carrier (e.g. plane, train, ship, or bus). For New York State residents, there is a $10,000 aggregate maximum limit for all Covered Persons per Covered Trip.</p><p></p><ul><li>Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. </li><li>Please visit americanexpress.com/benefitsguide for more details. </li><li>Underwritten by AMEX Assurance Company.</li></ul><p></p>

Holding a second card could also be helpful if you need to max out your initial card and still have credit available to cover spending. It’s not ideal to carry a maxed-out balance, of course, since credit card debt can be costly due to high interest rates, but it happens.

What to consider for a second card

When shopping around for a second credit card, there are a range of details to consider. You should be looking for a card with a suite of terms and benefits that work for — not against — you, making the card a worthwhile addition to your wallet.

APR

Ideally, you should pay off your credit card statement in full every statement period. But sometimes that’s not possible — it happens to the best of us. Even so, holding two cards means you’ve got two different ways to increase your overall debt burden if you’re not careful about your spending and paying off your balance.

When you carry a balance, you’ll accrue interest on that balance at an annual percentage rate (APR) outlined in your card’s terms and conditions. Credit card APRs are notoriously high and are often variable, meaning they fluctuate within a percentage range.

Before applying for a card, pay attention to the APR. Some cards offer lower APRs than others, and some even offer introductory 0% APR periods on purchases to entice applicants. If you anticipate needing to carry a balance, it’s important to understand how much interest you’re at risk of accruing.

Rewards

If your current card earns cash back or rewards in certain spending categories like groceries or gas, consider getting a card that earns on categories that your current card doesn’t like streaming or travel. Holding multiple cards that earn elevated reward or cashback rates on a range of categories gives you the chance to optimize earnings across all your spending.

Likelihood of approval

There are a range of factors that credit card issuers consider when deciding whether or not to approve a given applicant for a certain card. But credit card companies typically tier their offerings based on credit score range. Some cards, like the Chase Freedom Rise^®, are specifically designed for applicants with poor or fair credit while applicants with good to excellent credit are more likely to be approved for higher-end cards like the Chase Sapphire Preferred^® Card.

Know your credit score and consider the likelihood of approval before applying for a card. Issuers perform what is known as a hard inquiry on your credit report when you apply for a card, and too many hard inquiries can hurt your credit, so don’t risk an application on a card you’re unlikely to get approved for.

Fees

Potential fees are among the most important things to consider on any credit card you’re applying for, regardless of how many you have. A card’s annual fee is most likely to be the deciding factor, but it’s also important to review a card’s foreign transaction fees, late fees, and cash advance fees, to name a few.

How to choose

Once you have an understanding of what you’re looking to get out of a second card, it’s time to shop around and make a decision. Consider following these steps.

• Narrow your selection: Not every card is targeted toward every consumer. For example, the best credit cards for students might not have much to offer if you’re well out of your schooling days. Limit your search to cards that cater to your specific needs.
• Review terms and conditions: Credit cards come with plenty of fine print. Carefully compare the terms on each card’s usage and benefits. Some perks may seem simple at first glance but may prove difficult to use after reviewing the specific terms of the benefit.
• Identify your top pick: I recommend applying for one card at a time. You’re looking for a second card, not a whole wallet of them. Identify the card that delivers the optimal combination of APR, rewards, fees, and likelihood of approval, then apply for it first. If that doesn’t work out, move on to your second choice, and so on.

Credit impact

As mentioned above, applying for a credit card generally leads to the issuer making a hard inquiry on your creditworthiness. This can sometimes result in a temporary negative hit to your overall credit score.

I know. It’s annoying that just when you’ve gotten to the point where you’ve built enough credit to apply for a second card, you’re now facing the prospect of a hit to your hard-earned score. It’s an unfortunate reality of the system, but inquiries don’t have as much influence on your credit score as other factors, and your score will eventually recover, provided you keep up with payments and keep your credit utilization low.

Best second credit cards

Wells Fargo Active Cash^® Card

The Wells Fargo Active Cash^® Card(Rates and fees) has a $0 annual fee, and cardholders can earn a flat 2% cash rewards on eligible purchases. That makes it a great choice for those just looking for a simple way to consistently earn cash rewards on their spending without having to think about whether they’re using the right card in the right category.

Learn more in our Wells Fargo Active Cash review.

Citi Double Cash^® Card

The Citi Double Cash^® Card also has a $0 annual fee, but earns up to 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases; plus, a special travel offer, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/25. This is a good choice if you value the convenience of a simple cash back card but want a little extra to sweeten the deal.

Find out more in our Citi Double Cash review.

Chase Sapphire Preferred^® Card

If you’re alright with shelling out an annual fee, though, you can get a lot more out of your second card than a decent earn rate. The $95-annual fee Chase Sapphire Preferred^® Card, for example, comes with up to $50 in annual statement credits for hotel stays booked through Chase’s travel portal and a range of travel insurance coverage, including trip delay reimbursement and baggage delay insurance.

Learn more in our Chase Sapphire Preferred review.

FAQs

Bottom line

As you continue on your credit journey, there should come a time when you open a second credit card. As long as you know you can use that card responsibly and get more out of it than you pay in fees, you’ll likely be better off for having it.

Having more lines of credit in good standing could bolster your credit score, and having more benefits and earning opportunities to take advantage of could save you money overall. But you should take a variety of factors into consideration when choosing a second credit card. The best credit cards offer earn rates and benefits that get you more than you’re getting with your first card and help you cancel out the annual fee.

Lucrative, Flat-Rate Cash Rewards

Wells Fargo Active Cash^® Card

5.0

FinanceBuzz writers and editors score cards based on a number of objective features as well as our expert editorial assessment. Our partners do not influence how we rate products.

Wells Fargo Active Cash^® Card

Apply Now

Rates and fees

Current Offer

$200 cash rewards bonus after spending $500 in purchases in the first 3 months

Annual Fee

$0

Rewards Rate

Earn unlimited 2% cash rewards on purchases

Benefits and Drawbacks

Benefits

• Low spend threshold for its welcome offer — $200 cash rewards bonus after spending $500 in purchases in the first 3 months
• Cell phone protection benefit (subject to a $25 deductible)
• Can redeem rewards at an ATM for literal cash

Drawbacks

• Foreign transaction fee of 3%
• No bonus categories

Card Details

• Apply Now to take advantage of this offer and learn more about product features, terms and conditions.
• Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months.
• Earn unlimited 2% cash rewards on purchases.
• 0% intro APR for 12 months from account opening on purchases and qualifying balance transfers. 19.24%, 24.24%, or 29.24% Variable APR thereafter; balance transfers made within 120 days qualify for the intro rate and fee of 3% then a BT fee of up to 5%, min: $5.
• $0 annual fee.
• No categories to track or remember and cash rewards don’t expire as long as your account remains open.
• Find tickets to top sports and entertainment events, book travel, make dinner reservations and more with your complimentary 24/7 Visa Signature® Concierge.
• Up to $600 of cell phone protection against damage or theft. Subject to a $25 deductible.