היא לא משתמשת בארנק הקטן, כי אין בו מקום לכרטיס.

Because the subject is היא (she), and משתמשת is the feminine singular present-tense form of להשתמש (to use).

A quick set of forms:

• הוא משתמש = he uses
• היא משתמשת = she uses
• הם משתמשים = they use
• הן משתמשות = they use

Also, Hebrew present tense often covers both uses and is using, depending on context.

In Hebrew, לא is the normal way to negate a verb in sentences like this.

So:

• היא משתמשת = she uses
• היא לא משתמשת = she does not use

Unlike English, Hebrew does not need a helper verb like do/does. So Hebrew says, literally, something closer to she not uses.

Because the verb להשתמש usually takes the preposition ב־.

So in Hebrew, you do not normally use something directly the way you do in English. You use with / make use of something:

• להשתמש בארנק = to use a wallet
• להשתמש במחשב = to use a computer
• להשתמש במילה הזאת = to use that word

So היא לא משתמשת בארנק is the natural Hebrew structure.

Because when the preposition ב־ combines with the definite article ה־, they merge into one form.

So:

• ב + הארנק becomes בארנק

This is very common with ב־, ל־, and כ־:

• בבית can mean in a house or, with different pronunciation, in the house
• לילד / לילד similarly can be to a boy or to the boy
• כמלך / כמלך similarly can be like a king or like the king

In unpointed Hebrew writing, the spelling is often the same, and context tells you which meaning is intended.

Because in Hebrew, adjectives usually come after the noun they describe.

So:

• ארנק קטן = a small wallet
• הארנק הקטן = the small wallet

This is the normal Hebrew word order for noun + adjective.

Because Hebrew adjectives must agree with the noun in definiteness as well as in gender and number.

Here:

• ארנק is masculine singular
• the phrase is definite: the wallet
• so the adjective must also be masculine singular definite

That gives:

• הארנק הקטן = the small wallet

After the preposition, it appears as:

• בארנק הקטן

Even though the ה־ of הארנק is absorbed into בארנק, the whole noun phrase is still definite, so the adjective must still be definite too.

Because ארנק is a masculine noun.

Adjectives in Hebrew must agree with the noun they describe:

• masculine singular: קטן
• feminine singular: קטנה
• masculine plural: קטנים
• feminine plural: קטנות

Since ארנק is masculine singular, the adjective is קטן, and because the phrase is definite, it becomes הקטן.

Because אין is the normal Hebrew word for there is not / there are not / there isn’t / there aren’t.

So:

• יש מקום = there is room
• אין מקום = there is no room

Hebrew does not normally say לא יש in standard usage.
That is why the sentence says:

• כי אין בו מקום לכרטיס

not

• כי לא יש בו מקום לכרטיס

בו means in it or in him, depending on context.

It is made from:

• ב־ = in
• ־ו = him / it (masculine singular suffix)

Here it refers back to ארנק, which is a masculine singular noun, so בו means in it.

Compare:

• בו = in it / in him
• בה = in it / in her (feminine)
• בהם = in them (masculine or mixed)
• בהן = in them (feminine)

Because מקום literally means place, but very often it means room or space in everyday Hebrew.

So:

• יש מקום = there is room / there is space
• אין מקום = there is no room / there is no space

In this sentence, מקום means there is not enough space in the wallet.

Here ל־ means for.

So:

• מקום לכרטיס = room for a card

This is a very common Hebrew structure:

• מקום לספר = room for a book
• זמן לפגישה = time for a meeting
• כסף לאוכל = money for food

So לכרטיס here is not about movement to a card. It means for a card.

In unpointed Hebrew writing, the spelling can look the same.

It could be:

• לכרטיס = for a card
• לכרטיס = for the card

The difference is usually shown by:

1. context
2. pronunciation, if spoken
3. niqqud, if the text includes vowels

In this sentence, the natural meaning is for a card, so it is understood as indefinite.

Yes, often it could.

Hebrew frequently omits subject pronouns when the meaning is clear from context. So:

• לא משתמשת בארנק הקטן...

could mean she doesn’t use the small wallet... if the context already makes the subject clear.

However, היא is often included:

• for clarity
• to start a new sentence smoothly
• for slight emphasis or contrast

So both are possible, but היא לא משתמשת... is perfectly natural.

כי is a very common word meaning because.

So:

• כי אין בו מקום לכרטיס = because there is no room in it for a card

It is one of the most straightforward ways to connect a reason to the main clause. Other expressions can also mean because, but כי is simple, common, and natural here.