Wednesday 11th of November 2009
Higher interest rates and fixed fees are just two ways that credit card issuers could attempt to breathe new life into their industry, according to Confused.com - which could make a debt management plan a more appealing way of repaying debt for many consumers.
The difficult economic period means lenders have to be stricter with which applications for credit they accept - a factor that may result in many lenders suffering a fall in revenue.
Statistics revealed recently by the Bank of England showed that while the base rate sits at a historic low of 0.5 per cent, credit car interest rates continue to rise.
PricewaterhouseCoopers indicated in its report that such a trend is set to continue, which could result in debtors facing a growing struggle just to meet interest payments on unsecured debt.
Indebted Britons who turn to a debt management plan could take advantage of it reducing interest rates on what they owe.
This could ease pressure on worried consumers and make monthly repayments more affordable.
By Mark Waterman
