Just how many credit cards do we need!

Some forty nine per cent of over 50s admitted to using more than one credit card, according to research conducted by Saga, with seven per cent saying they carry five or more credit cards in their wallet.

Less than a quarter (23 per cent) of people aged 50 do not use a credit card, compared to over a third (34 per cent) of under 50s.

Of those who said they held more than one credit card, a third said they utilised all their plastic in the same way, with one five saying they used their cards to give them some breathing space when they need extra credit.

The same number said their credit cards were using for big ticket purchases.

While use of multiple credit cards by over 50s is up compared with the rest of the population, it would seem that they are more likely to make their repayments on time – nearly three quarters (73 per cent) claim to have never missed a payment deadline.

By contrast, 47 per cent of under 50s admit to having missed a credit card payment at some point, with eight per cent of under 35s saying they regularly do so.

Furthermore, over a third of people mistakenly believe that having multiple credit cards cannot have any impact on credit scores, while a quarter believe it can actually improve their rating.

50 + more financially savvy

The over 50s are using their credit cards instead of debit cards while shopping to protect themselves from retailers going under. New research from Saga credit cards has revealed that the over 50s are so aware of the effect of the current economy on retailers, that they are taking steps to ensure they do not lose out if businesses they have shopped at go bust before they receive their purchases. Three in five over 50s (58 per cent) said they are now using their credit cards to ensure their purchases are protected in case a shop goes under because they know their credit card company will allow them to claim a refund if the purchase is over £100. The proportion of the population as a whole that are now shopping using their credit cards in order to protect themselves financially is slightly lower - 46 per cent – which, says Saga, shows that the older generation is "both more financially aware and more eager to protect their purchases." Saga found that other reasons why people are using credit cards as opposed to cash and other cards include the fact that they get cashback and rewards every time they spend on them (32 per cent) and because they help them manage their money (24%). Almost half of the population as a whole (46 per cent) and more than half of the over 50s say it is simply because it is easier than carrying cash. Saga's research also found that throughout 2008, holidays, eating out and supermarket shopping were by far and wide the most regular credit card purchases for the over 50s, which reveals that many of the Saga generation are still finding both the time and money for luxuries. According to the research, Tesco and Sainsbury's came out as the most popular places for this age group to shop – there was no sign as yet that the over 50s are being forced to turn to the discount food retailers for their weekly shop.