The survey was carried out by Bright Grey and showed that one in five people living alone were using credit cards and loans to fund their lifestyles. Another one in six people living alone said that they were using their overdraft facility in order to keep up a particular lifestyle. In total around 17 percent of single people living alone said that they regularly overspent each month. Out of these 25 percent said that they overspent because they were paying out money to maintain an enjoyable lifestyle.

The average monthly take home pay for someone that lived alone was £1267 but singles have been saying that they need around 25 percent more than this to maintain their lifestyles, which would equate to an average £1594. The survey results showed that 35 percent of those polled felt that they had to spend money whilst 24 percent said that they did it because they enjoyed it.

A spokesperson for Bright Grey said: ‘There is a real concern that, for many people, high mortgage and rental prices can mean that spending choices are limited. Yet more worryingly, it seems that the average salary is far too short for some, who just can’t help but overspend in order to maintain their existing lifestyle.’

One fifth of singles use credit cards and loans to fund lifestyle is a post from: Credit Cards Bureau

No related posts.

Related posts brought to you by Yet Another Related Posts Plugin.

At present the base rate still stands at 0.5 percent. However, despite this credit card interest rates have continued to soar, with the average credit card interest rate now coming in at a whopping 18.9 percent. This is thirty five times higher than the Bank of England base rate and is the highest it has been in thirteen years. Some officials believe that this stems from providers being cautious due to the increased risk of bad debt because of job losses and the state of the economy.

Credit card providers that are offering lower rate deals are becoming increasingly cautious over who they offer these deals to, which means that the majority of consumers have reduced choice when it comes to finding a credit card. This means that many end up having to go for the higher rate cards, and with interest rates going up and up this can equate to a huge amount of debt and interest.

One official said: “During the financial crisis many credit card companies assessed their existing customer base and many customers have seen large increases in the rate they are charged. Customers who would previously have switched to another provider are now finding it’s not so easy to do so. Competitive deals for balance transfers and introductory purchases remain on offer but card providers are selective over exactly who they select for these deals.”

Credit card rates soar despite base rate is a post from: Credit Cards Bureau

Related posts:

1. Card debt to continue this year Over the course of this year many people will continue...

Related posts brought to you by Yet Another Related Posts Plugin.

Experts have said that the fact that more people are searching for interest free balance transfer credit cards can be viewed in two ways, one good and one bad. On the upside it means that consumers are no longer willing to put up with high interest credit card debt, and are willing to prepare themselves for the expense of the Christmas period and do their best to avoid having to pay unnecessary interest on their borrowing.

However, on the other hand officials say that it could mean that consumers are simply planning to spend, spend, spend over the festive season regardless of whether they can afford it, and are hoping that by putting all of their credit card debt onto an interest free balance transfer card they can reduce the stress of borrowing money that they cannot really afford.

Those that are searching for a 0 percent balance transfer credit card will find a number of deals on the market, and will be able to find the most suitable card by comparing the various deals available. Looking for a longer interest free period will enable consumers to spread the transferred balance out more and reduce their payments.

Brits more prepared when it comes to credit cards is a post from: Credit Cards Bureau

Related posts:

1. Card debt to continue this year Over the course of this year many people will continue...

Related posts brought to you by Yet Another Related Posts Plugin.

Head of banking at moneysupermarket.com, Kevin Mountford, said “Christmas is always a difficult time of year financially and the current economic climate is not making things any easier. Preparation is the key during the festive season and consumers who have saved will be able to start the New Year without the burden of Christmas debt hanging over them”.

Those who have decided to go down the credit card route should be using their head when deciding about how to go about this, with Mr Mountford adding that for those people looking at using a credit card a deal with 0% interest on purchases would be the best option.

He added “Provided you are able to pay off the balance in full within the zero per cent period, these cards are a good way of spreading the cost of Christmas”, pointing out that consumers should not be spreading the payments to after the 0% interest period as they could still be paying the credit card off the next time Christmas comes around.

Are You Using Your Credit Card For Christmas This Year? is a post from: Credit Cards Bureau

Related posts:

1. Card debt to continue this year Over the course of this year many people will continue...

Related posts brought to you by Yet Another Related Posts Plugin.

In the past many people have switched their credit card debts onto a 0 percent balance transfer credit card, which has given them a long period of interest free credit within which to repay the transferred balance without being charged any interest on the debt. However, these cards usually charge a balance transfer fee of around 2-3 percent of the amount being transferred, and in some cases this can come to a lot of money, which may put people off from doing this.

Industry officials have recently said that a more suitable alternative for those that do not wish to have to pay these costly transfer fees would be the life of balance transfer credit card. In the same way as the 0 percent balance transfer card consumers can transfer their existing credit card balances on to these cards. They are then charged a very low rate of interest on the transferred balance for the life of the balance, as long as they ensure that they make at least the minimum monthly repayment required.

One credit cardholder recently stated: “I wanted to try and shift my debt from my existing cards, which charged a high rate of interest, to an interest free balance transfer card, but providers were asking for a large amount by way of transfer fees. I then decided to transfer to a life of balance transfer card, which saves me money in interest and gives me more time to clear the balance that I transferred.”

Consumers Could Benefit From Fee Free Card Transfers is a post from: Credit Cards Bureau

Related posts:

1. Credit card rates soar despite base rate For nearly two years the base interest rate in the...
2. Card debt to continue this year Over the course of this year many people will continue...

Related posts brought to you by Yet Another Related Posts Plugin.

One of the measures that the government is bringing in is to stop credit card firms from automatically increasing customers’ credit limits. At present credit card providers review the accounts of customers periodically and then increase their limits accordingly, letting them know by post. However, whilst the customer may not have really wanted the credit limit increased once this is done the temptation is there to spend on the card, which puts the cardholder even deeper into debt. The government wants this practice to stop, and for credit limits to be increased only at the request of the cardholder.

Another thing that many credit card providers have been doing over recent years is sending out credit card cheques to customers, which can then be written like normal cheques. Customers can even write themselves a cheque and put it in their bank, with the amount then coming off their credit card. However, many do not realise that they are then charged high credit card fees for using the cheques. This is something else that the government wants to put an end to.

The Consumer Affairs Minister, Gareth Thomas, said: “We are concerned that people may be tempted to borrow irresponsibly if credit card companies increase borrowing limits without this being requested by customers, or send out unsolicited credit card cheques. It’s vital we protect consumers at this time and we are exploring these issues carefully.”

Credit Card Providers To Face Further Clampdown is a post from: Credit Cards Bureau

Related posts:

1. Credit card rates soar despite base rate For nearly two years the base interest rate in the...

Related posts brought to you by Yet Another Related Posts Plugin.

The bank has already taken billions of pounds in taxpayer’s money as part of a bailout package, and the outrage that this letter has caused has resulted in pressure for some senior officials at the banking giant to resign. Officials have called for the financial services secretary, Lord Myners, to step in and handle the situation.

here here here

Philip Hammond, Tory shadow chief secretary to the Treasury, said: ‘It beggars belief that a bank so heavily reliant on public funds is promoting itself as a provider of credit for gambling habits. Taxpayers who are on the hook for a bail-out worth billions of pounds will be horrified. This is grossly irresponsible behaviour and Lord Myners needs to put a stop to it at once.’

Vince Cable, deputy leader of the Liberal Democrats, added: ‘The senior management who signed this off need to be fired. It’s quite extraordinary that a publicly owned company is effectively encouraging borrowers to gamble on their credit cards. It is exactly the type of stupid, irresponsible behaviour that has to be stopped. What makes this even more breathtaking is High Street banks such as Lloyds TSB are refusing to lend money to well-run businesses and borrowers with good credit histories.’

Lloyds TSB attacked over credit card gambling is a post from: Credit Cards Bureau

Related posts:

1. Credit card rates soar despite base rate For nearly two years the base interest rate in the...

Related posts brought to you by Yet Another Related Posts Plugin.