Unwise decisions are easy to make, especially when we have credit cards. Indeed, having that powerful piece of plastic brings out our impulsiveness and before we know it, we have already accumulated a hefty amount of loans that are just so difficult to pay back.

During these bleak moments, the first option we think of is to get rid of our credit cards, thinking that doing so would make things a tad easier for us. Will it really?

In some cases, closing a credit card may be the best solution to our financial problems. But this is not the rule of thumb where financial troubles are concerned.

While closing credit cards may generally ease things out for you, some credit cards are still better left alone. Here is a list of the credit cards that you should keep:

The credit card that has a balance

Do not close a credit card that still has a balance. Otherwise, your total available credit will be lowered to $0, and you will appear to have maxed out. This will have a negative impact on your credit score.

The credit card that has an available credit

Closing out a credit card that still has available credit will increase your credit utilization, which will not look good in your credit history.

The only credit card you have

Without a credit card, you will find it difficult to add points to your credit score. Consequently, creditors in the future have a tendency to turn you down upon the assumption that you lack experience with credit cards.

The oldest credit card you have

Close your oldest credit card as a last resort only because it really is not advisable. If you close your oldest credit card, chances are, your credit history will be shortened and the creditors will hesitate to do financial negotiations with you.

The credit card with the best terms

Basic logic and common sense prompts you to keep your best credit card. This is the one that offers a low-interest rate, no annual fee, and what-not. Since the present time necessitates you to own at least one credit card, better stick to the one that charges you less.

Debts and credits are very important matters. Needless to say, you should make it a point to think thoroughly before making a move.

Do not allow financial stress to get to you. Remember, making hasty decisions will make things more difficult for you and may put you in a situation that is far worse than the one you are in right now.