What are some disadvantages of having credit card debt?

Ok, since I came to the US, I have been wonder why a lot of American people have a lot of credit card debts. And even people who are old still have good amount of debts.


Everyone around me says it is important to have some debts and increase their credit scores. But, obviously if they cannot pay , they will fave a possible bankruptcy.


And ever after bankruptcy, they can still get another loans. My MIL is like that.


Now, a lot of employers do background credit check. What are some disadvantages of having credit card debts?|||A lot of people are simply misinformed, you do not have to carry balances on your credit cards to build your score you need to pay them off in full on time every month.





Bad things about carrying debt is obviously you have to pay interest and if the debt is too high it will lower your score.|||Duh, they have debts because they buy what they don't have cash for. Having debt doesn't make you have bad credit and it doesn't lead to bankruptcy except in the very irresponsible.





I don't get why you're so against it. You mean to tell me that you've never had an emergency medical bill, car repair, etc.? You must be very verrrrrrry young or unrealistic honestly.|||I have no clue why americans think that carrying credit card balances is good for their credit - it baffles me.


Credit used wisely means to use your card, but pay in full each month./|||There is a HUGE difference between having credit and having debt.





Credit cards are a convenience. They are not meant to be long term financing. People who run up credit card debt, are living beyond their means. They have to pay interest and the debt can get out of hand.





Many people use credit cards for everything and pay the balance in full each month. Just because you have a large line of credit, doesn't mean you have to use it all.