>> If this is the case can someone tell me why char is the default?

I can't.

>> What do y'all like to use a preference for basic text?

nvarchar()

When dealing with SQL Server 6.5, it was perferable to use a fixed, non-nullable datatype, like CHAR. I don't remember the exact reason but it had to do with the way that the row was organized on the page.

For SQL Server 7.0 and later, those issues were addressed. Most recommendations that I have seen list using varchar() over char().

-Mike