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Just a quick question, I crafted a sword level 14, but it's in red. Is that sword level 18 or can I only use it when I'm level 18? May be a stupid question, but thanks already for the help.
Your character level is basically what you are, for example, you are level 14. Your equipment (weapons and armor, etc.) cannot be equipped if their level is higher than yours. If you are level 14, you can equip UP TO a level 14 sword.
Characters start as fairly weak and untrained (level 1). When a sufficient amount of experience is obtained, the character "levels up", achieving the next stage of character development. Such an event increases the character's statistics, such as maximum health, magic and stamina, and may permit the character to acquire new abilities or improve existing ones.
This is what char (or character) level means. "Char" is short for the word "character", the one you play.