To think most people don’t actually pay off their credit cards in full each month?

No idea what most people do, but I always pay it off automatically.

Yes we do. Every single bit of spending goes on the credit card to earn points, nothing on the debit card so that’s usually £2k+ each month. Always paid off in full without fail.

With all due respect how have you measured what I understand about credit cards from 2 sentences? You don’t know what my financial goals are and what I am trying to achieve with credit cards?

I never used to, then got myself into stupid debt over it. Luckily enough I managed to get a consolidation loan to pay off my cards as the interest and balances were getting silly.
I still have a credit card but am very careful not to build up too much on it now and am fanatical about clearing the balance each month. I learned my lesson!

Of course I pay it off every month, and I assume most people do. Everyone I know who uses a credit card does so for the perks they bring, not because they can’t afford what they’re buying

You're not understanding the benefits of credit cards. It's not always financially sensible to pay off the balance.

One of the perks is that by holding a balance on a 0% credit card for a large purchase, you can gain interest on savings instead.
Eg, say I need to pay £5k for a holiday. If I pay it with savings then that's fine... I'm not in debt, and the money is gone.

But if I put it on a credit card at 0% and keep that £5k in savings I can gain an extra £200 in interest over 12 months. At which point I pay off the credit card and have got an extra £200 in my pocket for free.
And at the same time I've also got the extra protection that a credit card purchase brings.

Obviously this means being organised and diligent. I never move a balance, either - I make sure every balance is paid off by the end of the interest free period, as I just find it easier to manage that way. But there is a false assumption that if people have large credit card balances then they're feckless or can't afford what they're buying. This really isn't the case.

Of course I pay it off every month, and I assume most people do. Everyone I know who uses a credit card does so for the perks they bring, not because they can’t afford what they’re buying.

Same here. Got a consolidating loan at a much better rate than the CC rate and paid it off over 3 years. Before kids we had time to shop around for 0% deals and used to use those too but don’t have the time or energy for it now.
Now we just use it to get the free flights and scrupulously pay off in full every month.

We always do fortunately.

They make money by charging fees on all the payments you make to companies. Interest isn’t the only way they make their money.

We always have done, for over 25 years. By direct debit, for the full amount.
We use them for the protection, insurance, and Avios points through AmEx. And more recently, access to airport lounges across Europe (with free food and drink) and priority through security in some airports.

we always clear the balance each month

I have 2. One we live on and gets paid in full every month. The second is a zero interest card which my DS18 is an additional card holder on. He goes to uni abroad and uses it for fees and flights. I pay this off in large chunks every month. I usually clear it by the time the next set of fees are due. I’ll change cards when the 24 months interest free are up. I’m happy to use credit if I’m not paying interest. Certainly cheaper than a loan.

We’ve always paid it off each month. We do it for buyer protection, the airmiles, the John Lewis vouchers etc depending on which card we use. Have never used it as a ‘credit’ card as such, bet the companies hate people like us as they’re not making any interest off us!

Always pay it off in full now. Previously had big debts which spiralled and took years to pay off. Never again.

Always have. It's used for everything we spend and the full amount goes out via DD every month.

Well, that's not my main reason in my specific situation but yes, those as well.

Yes things like that are a great idea.
Small, manageable sums, that you can pay off easily. Soon builds the credit score.

@museumum you could avoid paying interest if you time your purchases correctly.

One just before and one just after the statement cut off date and you effectively spread over two months anyway.

I always pay mine off in full but sometimes the time delay in being billed can be useful to avoid taking money from savings.

I always use a credit card online. Extra protection plus if someone does use if fraudulently you are effectively dealing with pretend numbers until it's sorted where as someone emptying my bank account would have the knock on of things bouncing etc.

You'd be better off getting a loan or using klarna if you need to use it for borrowing op

I do. I just use is instead of debit card to build up air miles and also so that everything goes out on payday.

I have a max 3 month rule. Very occasionally I’ll use it for something I can’t afford in one go. But if it takes more than 3 months to pay it off I won’t buy it. I’d rather save up. Mostly, I use my cc for work expenses that I have to claim back.

I don't have a credit card, I'm too poor to get into that fools game better to save where you can then use that when needed than to borrow. I have been literally homeless and flat broke and never put myself actively in debt, especially debt I knew I couldn't or planned not to pay off and just build fees on. Utterly stupid, and how people end up in situations they can never dig themselves out of.

Most people I know with credit cards use them as temporary bridges between pay days (end of the month when they're a little low) then pay it off on pay day or simply got one too boost credit scores and pay it straight away, not as a way to live above their means and jump debt to debt.

Always have

We do. 🤷‍♀️

Credit card protection against the supplier going bankrupt or providing faulty goods.

Rewards scheme points.

Up to a month and half interest free credit where your money could be earning interest.

That's three good reasons why people use them but still pay off in full.