The biggest reason I see--way too often--is that some people treat it like free money, spending far more than they can afford to pay off. The credit card company is happy to extend them credit, at a high percentage rate, so long as they pay every month's minimum balance, and before you know it, they owe thousands or tens of thousands and will end up paying far more than that amount because they have to pay such high interest.
If you have the income to pay off your balance in full every month (or the holiday-shopping balance in two, if you buy lots of gifts) and you're the kind of person who can resist temptation, you might be fine with a credit card.
They're good to have for emergencies that aren't in your budget, so long as you're serious about paying down such expenses.
Have had credit cards for many years, paid off in full every month except January, which I pay half of.
· 4 months ago