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Number of Credit Cards Shoots Up

Since 2020, the number of credit cards in South Africa has gone up by more than half (53%).

It seems that the Banks are handing out more credit cards, and many of them come with higher spending limits than before. So, more people are able to spend more than ever.

Even though most people are still spending about the same on each card, they now have more cards in their wallets. That means total spending is actually going up. It’s just being spread out among different banks.

Smart Shoppers or Hidden Risks?

Reports show that some people are using all these different cards wisely.

These smart users are picking the best credit card for each shop to earn rewards, points, or cashback. It’s a clever way to make your money work a little harder.

But for others, having more cards might just be a way to borrow more to try stay afloat. Many of the banks have started to offer more access to credit as their risk appetite has grown in the face of competition from other brands.

The danger for credit users with lots of different accounts is that when your spending is split across multiple cards, it’s easy to lose track of how much you actually owe.

That’s why it’s important to look at your full debt picture on a regular basis, not just what’s on one statement.