I've Never Had A Credit Card: Here's Why

While a credit card may seem like a useful tool when it comes to finances, there are plenty of reasons as to why I've avoided them (and will continue to do so). I know many people think they add convenience to their lives, but with a few exceptions, I think they add the opposite. Here's my thought: if you can't pay for it in cash, you don't need it right now. Focus on creating and building a savings account in the meantime. Of course they are nice in the sense that with a credit card you can build your credit score - something you usually need when renting or buying a home amongst other things. But to carry on the theme of what I was previously saying, here are a few factors to consider if you're ever been bombarded with credit card marketing and advertising:

Encourages impulsive purchasing behavior
Credit cards can be a blindfully-awful thing when in the hands of someone with bad self-control. They enable holders to *conveniently* and impulsively shop online, purchasing things they don't need or have the money for. The cardholder may say that they will come up with the money by the end of the month, but that doesn't always happen. Things such as emergencies pop up, and if they're using their "emergency funds" to pay off the credit card, they'll eventually be out of savings, and it turns into a vicious cycle. Over time, this can lead to another big problem:  a credit balance.

Credit interest
Carrying a credit balance will cause you to be charged interest, and overtime, that will likely cause you to come out with a net loss. Currently the average interest rate in the United States stands at around 17%, and store credit cards such as Victoria's Secret only go up in interest. When your interest rates start to take off, it can makes things more difficult for paying off. You start paying in money that you never really spent in the first place - how annoying! 

Extra responsibility
Obviously, owning a credit card comes with a large responsibility. You are opened up to two new risks: fraudulent charges and late payments. You would want to regularly check your statement to ensure not missing a due date, and you would want to make it habit of carefully scanning your purchases and keeping an eye out for fraud charges. Holders who don't stay on top of their bills will struggle on both fronts.

I know not everyone thinks the way I do, and some people will completely disagree with me on this post - that's fine. But, these are things to consider before opening up a credit card for yourself. Be honest with yourself: would it truly be a good idea to add this plastic as a means of payment to your life? Do you know for sure that you can trust yourself to only purchases necessities and pay them off monthly? Some people will open a credit card purely for the sake of raising their credit scores, using their credit card only on gas or groceries - something they KNOW they can pay off. It's a good idea, sure, but the factors listed above still exist. I think it's better to purchase only the items you have the money for and avoid the debt all together. Save your money, spending less on the smaller everyday things such as coffee trips, mid-day snacks, and aimless driving. Take part in more free activities and find entertainment in such things. We all live different lives and see through different perspectives. Ultimately it's up to you and only you can know if it's truly a good idea.


  1. I have 3 credit cards but I use them wisely. I always pay off the balance the following month so there's no interest charges. Then I use the rewards to buy restaurant gift cards so it all works out!

    I think you're being smart! So many people are in credit card debt these days.

  2. I think it's pretty important to build up good credit though! At least after you're in your mid-20s.

  3. You don't have to have a credit card to build credit! And most of the time they don't build credit well because they aren't used wisely! My dad taught me that you should pay your bills on time and always round up because that ways your accounts are always in credit status!!

  4. Interesting points, though if you have self-control I still think a credit card can be good. As they often have bonus points as well as being able to build up your credit score.

    Sophie | MapleTreeBlog

  5. Definitely thought-provoking. I only got a credit card for two reasons: to build my credit so I can get a mortgage one day and also because otherwise my bank was going to change a $10/monthly fee for some arbitrary reason unless I got one through them. I do get the compulsive spending thing, it's so easy to not pay attention and suddenly you've got a huge balance.

  6. Ashlee, I agree with you. If you can avoid having a credit card I think it's a good idea, however I'm unsure how you do so and still build your credit. You sound very disciplined and probably far better than I was at handle the responsibility of having a credit card, when I first got mine.

    1. Thank you! There are a few different ways of building credit without a regular credit card, and I plan to write a post on it in the near future! :)

  7. I agree! Credit cards are a slippery sloop. My husband and I fell down that mountain years ago. We've climbed back out, and only have one credit card (which we got to rebuild our credit). Everyone should learn to live within their means before a credit card even crosses their mind.

  8. I agree that credit cards are such a trap. This is such a good list of pointers. Thanks for sharing it.

  9. I just have one but the balance it's 0!!! I'm allergic to debts xD. I do keep it active. I pay my cellphone bill and that same month I pay the credit card full total.

  10. I can totally agree with the reasons why you don't want a credit card. That is how I felt for the longest time as well but I eventually would like to buy my own house one day and I need to build some good credit so that's the only reason why I have mine. But I never used for impulse purchases and I haven't had issues with paying off my card. So I think in some instances having a card could be useful!


  11. I think am worst here, i have 8 credit cards (of down to 7, coz I cut the other one because I don't like the service) and actively using 3 of them. And I never been charged or pay interests, and my payments are always advanced, never late. And it works so well for me.. Maybe because I know and mastered the art of control for my credit cards (and also my charm in order to waived my annual fee,lol)

    To sum it up, i can't imagine my current convenient life without them..

    I regularly gets free hotel accommodations as rewards for using my cards :) Not bad at all.

  12. I can relate to you. Even I do not have a credit card!


  13. That's awesome that you have been able to go your whole life without a card. I agree that it has encouraged unnecessary purchases.

  14. I never had credit cards until I got married with my husband. He doesn't like the idea of carrying cash all of the time.


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