Credit card usage isn't low here because Germans hate credit, it's because we simply have had better alternatives for ages. Instead of credit cards people use Electronic cash (https://en.wikipedia.org/wiki/Electronic_cash) in stores which is much cheaper for merchants, so they often don't even accept credit cards because of the fees. Online payments and payments of bills are usually done through direct withdrawals (https://en.wikipedia.org/wiki/Direct_debit#Germany) with easy chargebacks.
I always wondered why the US is so opposed to direct debit? It is so much easier and safer than credit cards or sending cheques by mail.
The problem is that the rest of the world standardizes on credit cards. You cannot book a hotel or a conference without it. This is probably the only reason, why germans adopt credit cards: International travel.
Technically, you can. In practice, it's a different story.
The reservation won't be guaranteed, that is, you have to be there before a certain hour for your guarantee to work. After that, if a customer walked in and asked for a room, sorry.
Now try renting a car in the US without a credit card.
What's the problem with debit cards? I like to have the money for all purchases withdrawn from my account as soon as possible, it gives me a nice overview of how much I actually have.
The advantage of using a credit card is that you get a 30-day free loan, paid for by people who can't keep up with their credit card payments.
If you feel guilty about being on the winning side of today's predatory, exploitative credit card system, by all means use a debit card instead.
And to those who constantly run a balance on their credit cards and never seem to get them paid off, you can always prove your intelligence by cutting the cards into little pieces and flushing them down the toilet. More here:
In times of basically zero interest a 30-day free loan doesn't sound like a very convincing argument since I have to keep the money in an easily accessible account anyway to pay the bill at the end of the month.
> In times of basically zero interest a 30-day free loan doesn't sound like a very convincing argument ...
Look at it this way -- for 30 days, you have access to funds that the poor person doesn't. Interest or not, you have more financial latitude.
Also, people who automatically and fully pay off their cards every month tend also to be the sort of people who have most of their money in investments that yield reasonable interest returns (like equities), not zero-interest bank accounts. So for them, the saved money is kept in a worthwhile investment until the moment it's needed.
I personally think the difference between the financial condition of the rich and poor, and the choices each make, is terrible and unjust. But after I've empathized with the poor, I know which group I want to belong to.
I stopped using my CC almost completely a while back. The reason is "simplify your life". Why should I keep track of several accounts when I can have only one? My life got a bit simpler since then, and I don't regret it.
About thirty years ago, before I had a credit card, I tried to rent a car at an airport, but they refused me because I didn't have a card. I didn't fully understand the details, but it seemed they had an easier time identifying you and getting paid if you possessed a credit card. And interestingly, what they were doing was technically illegal.
So I called a TV station news department and told them about it. They called the rental service, who naturally enough said, "Oh, no, that's not true!" I explained to the reporter that asking wasn't going to work -- he needed to go to the airport and try to rent a car without a card, with a hidden camera. He did, the ruse worked, he was flatly refused on camera, and it was a big story.
So I like a simple life too, but the combination of having a 30-day float and being able to do certain kinds of transactions that require a card, have resulted in my having one -- one! -- credit card.
