Credit cards are basically mini-loans in plastic form.
It shouldn't be taken lightly, but that doesn't mean you shouldn't ever use credit. Just follow our advice, keep the basic facts of credit in mind, do your research, and you'll be fine. Unfortunately, each one depends on the other to determine just how much money is on your card. The credit card company looks at how much has been charged to your card, then multiplies that by whatever your interest rate might be. The secret of credit card interest is to find the card with the lowest possible fixed rate.