There are people afraid of using a credit card because of the myriad of problems they can present. This is understandable, but credit cards do not have to be scary. In fact, they can be very helpful, especially when you wish to purchase something without using cash. In the following guide, you will be able to read great credit card advice.

It’s useful credit practice to continuously keep two or three active credit cards. If you can pay your bill in full each month, this number of cards will help you to improve your credit score. Do not over-do it. Having more than three credit cards can concern a lender looking at your credit report.

Make sure you know what your interest rate will be with a given credit card. It is extremely important before you sign on to getting that credit card that you must know the interest rate. Without a clear understanding of the interest charges, your bills could rise unexpectedly. If the rate is higher, you may find that you can’t pay the card off every month.

Just as you want to avoid paying late fees, you want to avoid that over the limit fee as well. The fees you have to pay can be very costly, and it can also do some serious damage to your credit score. This is a very good reason to always be careful not to exceed your limit.

Never give out your credit card number to anyone, unless you are the person that has initiated the transaction. If someone calls you on the phone asking for your card number in order to pay for anything, you should ask them to give you a way to contact them, so that you can arrange the payment at a better time.

Credit cards are often essential for young people or couples. Even if you don’t feel comfortable holding a large amount of credit, it is important to actually have a credit account and have some activity running through it. Opening and using a credit account helps you to build your credit score.

Whenever you are considering a new credit card, you should always avoid applying for credit cards that have high interest rates. While interest rates compounded annually may not seem all that much, it is important to note that this interest can add up, and add up fast. Make sure you get a card with reasonable interest rates.

Live by a zero balance goal, or if you can’t reach zero balance monthly, then maintain the lowest balances you can. Credit card debt can quickly spiral out of control, so go into your credit relationship with the goal to always pay off your bill every month. This is especially important if your cards have high interest rates that can really rack up over time.

The advice you have read here can help even the most credit-shy consumer conquer their fears. When used properly, credit cards are useful, so do not be scared to use yours. Simply remember the advice you received and you will be fine.