I don't disagree with you, I'm just saying how it is here and the reasons why Americans use credit cards so much.

I have major problems and concerns with how credit scores work here, as well as the mysterious and flawed algorithms that determine them. The way credit scores are calculated sometimes incentivizes bad credit behavior, like maximizing your total available credit and keeping lines of credit open even when you don't want/need them anymore. It's deeply flawed. You're right about that.

However as just a matter of fact, in America at least, if you show up to your bank asking for a $500,000 USD home lone (which sadly is the average house cost where I live on the west coast), they will perceive a total lack of credit history as a big question-mark, and a sign of uncertainty and risk. I've known people who struggled to even open a credit account in their late 20s simply because they didn't already have an existing credit history to point to, which goes without saying is a total catch 22.

In other words, it's definitely a flawed system, but one that many of us have basically no choice to participate in. I have a good credit score because I have almost always paid for just about everything on my credit account, and then pay off the entire balance each month (sometimes twice per month). But like you said, a lot of people get into real problems with credit card debt because they either never learned how to responsibly use one, or they simply struggle to live within their means based on how little they make.