No one knows more about your own patterns and spending habits than you do. How credit cards affect you is a very personal thing. This article will try to shine a light on credit cards and how you can make the best decisions for yourself, when it comes to using them.

Learn how closing the account associated with your credit card will affect you before you shut it down. It is possible to negatively impact your credit report by closing cards. The card that makes up most of your financial history should not be closed.

Do not lend your credit card to anyone. Credit cards are as valuable as cash, and lending them out can get you into trouble. If you lend them out, the person might overspend, making you responsible for a large bill at the end of the month. Even if the person is worthy of your trust, it is better to keep your credit cards to yourself.

Make sure your card doesn’t have any annual fees, or you will pay too much. Depending on how exclusive the card is, a platinum or black card may carry a fee of $100 to $1000. If you don’t have to have a card that’s exclusive, avoid fees and keep that in mind.

To make the best decision regarding the best credit card for you, compare what the interest rate is amongst several credit card options. If a card has a high interest rate, it means that you will pay a higher interest expense on your card’s unpaid balance, which can be a real burden on your wallet.

Every time you decide to apply for a new credit card, your credit report is checked and an “inquiry” is made. This stays on your credit report for up to two years and too many inquiries, brings your credit score down. Therefore, before you start wildly applying for different cards, research the market first and choose a few select options.

Keep a list of phone numbers for your credit card companies and your own account numbers in a safe location. Keep your list in a safe place that is separate from your cards. This list will assist you in getting in contact with lenders in case you have a lost or stolen card.

Call your lender if you are unhappy with the interest rate on your credit cards. Request that they reduce it. If they refuse to do this after you talk with the retention team, then shop around for a better interest rate. Once you have found it, then switch over to this company so they will service your needs better.

If you have made the poor decision of taking out a cash loan on your credit card, be sure to pay it off as soon as possible. Making a minimum payment on this kind of loan is a big mistake. Pay the minimum on other cards, if it means you can pay this debt off faster.

If you are new to the world of personal finance, or you’ve been in it a while, but haven’t managed to get it right yet, this article has given you some great advice. If you apply the information you read here, you should be well on your way to making smarter decisions in the future.