Earlier quoted context omitted.
I'm in Europe and I can't say this is the case at all. I've never heard anyone express such an idea.
It is a prevalent view among the lower socioeconomic classes.
Among the middle and higher as well.
Digital euro clears key hurdle as EU seeks to break free from U.S. credit cards
171–180 of 386 posts
Re: Digital euro clears key hurdle as EU seeks to break free from U.S. credit cards
#172Reminder to the people reading this thread and overall comments, that in Europe everyone uses Debit Cards instead of Credit Cards. Credit Card in Europe is very much associated with Debt.
Reminder to all commenters that Europe is not a single homogeneous country and somewhat diverse in various things, including payments and finance. Credit cards are definitely a thing in many European countries.
In my corner of the world, credit cards were for buying stuff on the internet and travelling outside the EU. Now the net has evelved enough to accept our normal means of payment. I always feel insecure when using a credit card.
Re: Digital euro clears key hurdle as EU seeks to break free from U.S. credit cards
#173Reminder to the people reading this thread and overall comments, that in Europe everyone uses Debit Cards instead of Credit Cards. Credit Card in Europe is very much associated with Debt.
Note to Europeans:
Americans use credit cards and rarely debit cards because here the terms on debit cards are so much worse (for contesting charges, etc), so debit cards never really caught on for anything more than withdrawing cash.
In the US, users of debit cards are assumed to be uncreditworthy, because debit cards in the US have such bad T&C's that poor credit score is the main reason folks use them here.
Re: Digital euro clears key hurdle as EU seeks to break free from U.S. credit cards
#174Earlier quoted context omitted.
So you're really using credit cards as a proxy for a consumer-friendly (at least with regard to fraud/disputes) payments product. Credit cards being more consumer friendly than bank transfers is usually an artifact of the concrete implementation, not the abstract concept. In many EU/SEPA countries, returning a direct debit is much easier than a chargeback in the US, for example. In some countries, people even conside…
It's not just the chargeback process; it is that fraud actually removes money your account potentially causing other payments, like your mortgage, to default. With a credit card you have a month to get things straightened out before a payment is due.
As long as you don't go too far below zero, payments will go through. This may differ a bit per country.
Re: Digital euro clears key hurdle as EU seeks to break free from U.S. credit cards
#175Earlier quoted context omitted.
We call every card a credit card even if most of them are actually debit.
we dont in spain, we call it "tarjeta de debito" and "tarjeta de credito" or just "la tarjeta" or the card.
And in Italy many people say Bancomat when they want to pay with the card even if they don't have a card with that circuit anymore.
Re: Digital euro clears key hurdle as EU seeks to break free from U.S. credit cards
#176Re: Digital euro clears key hurdle as EU seeks to break free from U.S. credit cards
#177How does digital euro replace credit cards? That's basically the same as direct debit. It doesn't address the reason why I use credit cards. I use credit cards as a proxy for my bank accounts. I know that my issuing bank will protect me from all fraud so I don't have to worry about losing money if I buy something from a fraudulent merchant. I also know I can do things like chargebacks if I have to. None of this is ad…
For a lot of Americans the credit card system is another tax on being poor: People with stable jobs and good credit qualify for no-fee credit cards with rewards / cashback. As a consumer you benefit financially from having a credit card. Those elsewhere in the thread worried about "debt" - you just set to auto-withdrawl the entire balance of the card every month from your bank account. Now you have free money. I can'…
There is no such thing as free money, you're paying for it somehow. Maybe higher processing fees, maybe beggars on the streets and a society out of whack.
Re: Digital euro clears key hurdle as EU seeks to break free from U.S. credit cards
#178Earlier quoted context omitted.
In EU most people use direct debit. The term "credit card" is almost synonymous with debit. Chargebacks theoretically exists but they are more complicated, I don't know anyone who ever did that.
Maybe in the past, but nowadays you can call your bank for a charge back or you have an option in the banking apps I do have to say though, that with customer protection laws we have it has never happened to hear about a friend getting a charge back from the bank, usually you go to the seller first (or the platform if you got scammed) and you get refunded there
The bank, at least all of mine, will ask for proof that you tried to resolve it first with the seller, so that is why I believe.
Re: Digital euro clears key hurdle as EU seeks to break free from U.S. credit cards
#179How does digital euro replace credit cards? That's basically the same as direct debit. It doesn't address the reason why I use credit cards. I use credit cards as a proxy for my bank accounts. I know that my issuing bank will protect me from all fraud so I don't have to worry about losing money if I buy something from a fraudulent merchant. I also know I can do things like chargebacks if I have to. None of this is ad…
Your transactions aren't tied to some provider in New York blocking you over night?
Please elaborate.
Re: Digital euro clears key hurdle as EU seeks to break free from U.S. credit cards
#180Earlier quoted context omitted.
Yes, but the EU is quite diverse. I have some Irish friends. And Ireland seems similar to the US when it comes to credit card usage (vs debit). I assume that is because Ireland is heavily influenced by US and UK banking habits. On other hand, Germans only use debit cards.
I am Irish and in my experience most people use debit cards these days. I have a credit card but almost never use it.
I assume this is my “bounded rationality” / “bubble” bias (my impression was based on the people I know and not the full picture)
I checked the stats, and about 40% of purchases in Ireland are made by credit card. In the US, it is around 70%.