Brits feel pinch of higher rates on credit card debt
Brits feel pinch of higher rates on credit card debt
Tuesday 10th June 2008
MoneyExpert.com surveyed the 180 zero per cent balance transfer deals on the market to assess the rates being charged.
It was found that the average rate charged when the zero per cent period finishes now stands at 16.1 per cent - up from 15.35 per cent a year ago.
However, 23 credit cards were found to be charging 18.9 per cent or higher, while Northern Bank's Platinum Credit Card charges 39.6 per cent on balance transfers once its zero per cent deal ends.
As a result, millions of borrowers could find themselves facing cripplingly higher repayments, according to the site.
The pressure of consumers' finances brought about by higher rates on credit card debt is set to worsen as a result of soaring food prices and energy bills.
This is thought to have contributed to a 4.3 per cent rise in the number of individual voluntary arrangements (IVAs) during the first three months of this year.
Let Debt1 help solve your debt problems.
Related News
Energy hikes deal fresh blow to debt-hit consumers - 09/06/08
Energy prices are set to rise again over the next twice months, in the latest blow to consumers struggling with higher credit card debt and loan repayments and soaring food prices
Energy prices are set to rise again over the next twice months, in the latest blow to consumers struggling with higher credit card debt and loan repayments and soaring food prices
Insurers predict surge in debt if PPI is reformed - 06/06/08
Revamping the way loan protection insurance is sold could force thousands of vulnerable Britons into debt, it has been claimed
Revamping the way loan protection insurance is sold could force thousands of vulnerable Britons into debt, it has been claimed
Borrowers urged to consider debt consolidation loans - 06/06/08
Consumers struggling with debt should consider a consolidation loan to help them manage their money more effectively, a credit rating agency has recommended
Consumers struggling with debt should consider a consolidation loan to help them manage their money more effectively, a credit rating agency has recommended
Debt worries mounting for borrowers - 04/06/08
Britons are becoming increasingly worried about their ability to manage their debt, a survey has revealed
Britons are becoming increasingly worried about their ability to manage their debt, a survey has revealed
Debt levels poised to skyrocket as cards become more costly - 03/06/08
Credit card companies are continuing to make borrowing money more expensive, fuelling predictions that consumer debt levels will soar this year
Credit card companies are continuing to make borrowing money more expensive, fuelling predictions that consumer debt levels will soar this year
News Article Search
Quick Apply
News Archive