Monday 6th of December 2010
There may be a rise in the number of people seeking individual voluntary arrangement answers if Brits continue to rely on credit cards to make purchases.
Statistics published by BBA today (December 6th) reveal that October saw the underlying growth in plastic borrowing rose to 3.2 per cent, once the effects of debt write-offs by issuers of the financial products had been allowed for following account closure.
In total, the amount owed on credit cards stands at £60.4 billion, while 162 million transactions were made using the payment method during October, representing a slight fall from the 163 million reported in the same month last year.
According to the research, the last 12 months has seen the average figure of cash being withdrawn fall to £136 - a drop of 21 per cent - suggesting more people may be using debit or credit cards to cover the cost of items they have bought.
Director of communications at the Payments Council Sandra Quinn recently said: "Cash is too cumbersome for many consumers these days - they prefer a card for anything more than the smallest transactions."
By Kimberley Parsons
- Debt consolidation loans falling, figures show
- Britons 'changing attitudes' towards debt management
- Homeowners 'more concerned with debt management'
- Low interest rate 'contributing to debt management efforts'
- Debt management growing in importance, survey finds
- Pensioners facing 9 trillion savings deficit
