> For many consumers there isn't sufficient money in the account to settle all the one-time and ongoing transactions they are liable for

This is a uniquely American viewpoint. In most of Europe you don't buy anything on credit ever.

▲

vidarh 3 hours ago | parent | next [-]

There are numerous credit providers in Europe that would beg to differ.

By December 2025, consumer credit in the Euro area alone stood at an estimated €812 billion.

	▲	wiether 3 hours ago \| parent [-]
		Are you talking about the same thing? Sure, in Europe people will subscribe to a credit to buy a car or materials to improve their home. But buying your groceries or lunch with a credit card is quite a rare exception.

▲

SomeUserName432 3 hours ago | parent | prev | next [-]

I would never buy a plane ticket on debit.

Airbnb reservations I also tend to do on credit.

Anything related to company expenses I also do on credit and receive reimbursement prior to having to pay it myself.

▲

NicuCalcea 2 hours ago | parent | next [-]

It's just now how it works in most of Europe. I've lived in four countries, had accounts with lots of banks, paid for countless plane tickets and booking reservations, and only had a credit card once when I was issued one at work. I don't expect I'd ever get a personal one, and can't think of anyone that regularly uses one.

The only time I even considered it was to build a credit score in the UK to eventually apply for a mortgage, but even then it's not really necessary.

▲

wolvoleo 2 hours ago | parent [-]

In EU to build credit score the best thing is to have no credit at all. I'd be surprised if the UK works differently.

▲

NicuCalcea an hour ago | parent [-]

Even after a few years of living in the UK, I could not get a credit score from any of the three or so providers because they said they didn't have enough information about me. I guess being on the electoral roll and paying bills on time just wasn't enough.

Not having a credit score isn't necessarily a big problem, as banks use it for context rather than making decisions purely based on it, but I did see some advice online about getting a "credit builder card" [1] (essentially a high interest and low credit limit card) as a way to build up credit history.

I decided that getting in debt just so I can prove I can get out of it is a stupid system, and didn't do it. Last time I checked (with Experian), I had a perfect credit score, so I don't know what happened in the meantime.

1: https://www.experian.co.uk/consumer/credit-cards/types/credi...

	▲	wolvoleo 29 minutes ago \| parent [-]
		Ah yes I see, being new to the country does not help instill their confidence either. True. From your nickname it sounds like you are from Romania so if that's so there might be a dose of xenofobia included there as well. That is kinda big in the UK right now, the whole Brexit was fuelled by it, sadly, especially concerning eastern Europe. I was on the receiving end of some of it myself too, being called 'a non-national' and eyed with distrust. I'm sorry.

▲

Hikikomori 3 hours ago | parent | prev | next [-]

In Europe you typically have travel insurance on debit cards as well.

▲

wolvoleo 2 hours ago | parent | prev [-]

Those 'protections' have nothing to do with the purchase being credit or debit. They're just artificial incentives from the banks for you to pile on the debt. We frown on that behaviour here in the EU so it doesn't really happen. The same with the cashbacks american banks offer on credit cards, they're just paid by the extortionate card processing fees that vendors pay. So essentially, you are paying for your own cashbacks because the vendors just include it in the price in the end (and usually for everyone, not just those paying by credit card)

Besides, if you want insurance just get a 30€ per year rolling package.

▲

direwolf20 3 hours ago | parent | prev | next [-]

Most places outside the USA actually. A liability is someone else's asset, and everyone wants USA assets, so the USA needs to generate a lot of liabilities.

▲

memsom 3 hours ago | parent | prev | next [-]

I would have said "true", or at least - I would have said "I do, but never incurring a charge on next month's bill", but with services like Flex from Monzo, you can actually get credit over 3 months with 0% interest rates, which not only makes buying stuff more likely, but spreads out the costs. It doesn't solve over spending though.

	▲	KellyCriterion 3 hours ago \| parent [-]
		How much is it? You could draw all of it and put in a a 2x leveraged SP500 ETF :-D for 3 month and then return the money :-D

▲

RamblingCTO 3 hours ago | parent | prev [-]

It is not. https://tradingeconomics.com/country-list/private-debt-to-gd...

The widespread use with "buy now pay later" also counters your wildly baseless claim. Klarna, PayPal 30 days etc.

	▲	LunaSea 2 hours ago \| parent \| next [-]
		Your link counts all types of debt including mortgages which is the reason why Luxembourg comes up first.
	▲	Hikikomori 3 hours ago \| parent \| prev [-]
		Just because you have to use Klarna doesn't mean you pay later as you can just select your debit card or even bank account directly.