By                    Nicole Spector

When asked why they use credit cards, the top responses weren’t really about using credit  to buy things at all. Surprisingly, for nearly a quarter of people (24.78%), perks and rewards are their primary purpose for using a credit card, while 21.51% use them mostly to build or repair their credit, meaning nearly half of respondents primarily use credit cards not to pay for things, but to achieve another goal. There was still a good portion, 15.86%, that use them primarily for everyday purchases, 10.7% to pay bills and 5.75% to finance large purchases. Finally,  14.07% use credit cards only for emergencies, 4.86% use them so they don’t have to carry cash and 2.48% use them to defer payment.   

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Getting in better financial standing is top priority for many, with 43.9% of respondents saying that they are actively trying improve their credit score.

Knowing rewards and building credit are key factors, it’s interesting to note what mattered most to the respondents when choosing a new card. Annual fees and APRs are critical factors when choosing a card, with 37.56% of respondents saying that when picking a new credit card, no annual membership fee is the first thing they look for, while 25.67% seek low APR; 21.7% of respondents look for rewards and cashback perks, and 6.84% prioritize low balance transfer APR. Just 5.15% most value low fees and only 3.07% first consider the size of the bank.

Read: Jaw-Dropping Stats About the State of Credit Card Debt in AmericaSee: Why It’s Still Better To Use Your Credit Card Over Your Debit Card

In a society where so many people are living paycheck to paycheck, it makes sense (however depressingly) that monthly bills are the most common expenses charged to a credit card, with 62.14% of respondents saying they’ve used their credit card to pay these; Travel is the second most popular expense, with 52.92% reporting they’ve used their credit cards to travel. 36.57% have used their credit card to cover medical expenses, 15.26% have used a card to make payments on another credit card, 11.69% used a card to pay for a vehicle, 10.21% have paid their rent or mortgage with a credit card, 8.33% used a card to pay for education and 3.96% used a card to pay a tax bill. 

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In all, the survey shows that Americans are certainly using their credit cards, but are not as disastrously in debt as other research suggests and are motivated to open and use credit cards for more than just buying things. With more and more credit cards emerging, lending institutions will have to work harder to stand out in the crowd, and the best way they can do this is by attracting consumers with fat rewards, standout perks, no annual fees and low interest rates.

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