Credit card rates hit highest level since 1998

The latest Bank of England figure has revealed that quoted household interest rates on credit cards rose significantly in July and are now at their highest level in nearly two and a half decades. New analysis from Freedom Finance has found that average credit card rates jumped 0.23 percentage points from June to hit 21.66%…

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Virgin Money to launch BNPL credit card

Virgin Money has announced plans to enter the new buy now, pay later (BNPL) market later this year with a credit card product called Slyce. Virgin Money says that the product gives customers the flexibility to buy now, pay better, as customers can use Slyce for all their buy now, pay later spending (consolidating it all…

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Card data shows rise in spending

A new report has found that card spending trends for April have indicated early signs of the impact of the widely reported cost-of-living pressures. Fico’s monthly report based on the largest consortium of UK cards data shows a typical rise in card spend and balances, but also a slight increase in missed payments. Average monthly…

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Half of credit card holders believe a physical card will be gone within five years

23rd June 2022 Consumer Lending | #credit cards

The average credit card holder in the UK believes they will continue to use a physical card for just nine and a half more years, according to new report by finder.com. The figure is quite consistent across all age groups, ranging from millennials who expect to keep using them for under 9 years, all the…

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Credit card spending and personal loan borrowing increases

Credit card spending and personal loan borrowing both increased in the first quarter of 2022, returning to pre-Covid trends as the last restrictions were ended according to new analysis by UK Finance. Total credit card spending was £50.4 billion, with March seeing the second highest spending since the pandemic. There was a significant increase in…

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Credit card debt set to increase by £9bn as people borrow to survive the cost of living crisis

The UK is set to borrow an additional £9bn on credit cards over the next six months to survive the cost of living crisis, according to a new report by subscription lender Creditspring. According to the most recent Bank of England figures, UK individuals are currently borrowing £1.5bn every month on credit cards. This borrowing…

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Demand for lending on loans and credit cards rises

The Bank of England has published its latest credit survey which has shown that the demand for lending on credit cards and loans rose in the first three months of the year and is expected to do so again this Spring, as households struggle to cope with rising prices. The survey also showed that demand…

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Credit card fraud hit a five-year high

Latest data from the National Fraud Hunter Prevention Service, analysed by Experian, found the detected fraud rate for cards rose by 42% between October and December 2021, when compared to the previous quarter, the highest rate since 2017. Typically, an increase in fraudulent activity is detected over the festive shopping period, but 2021 proved especially…

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Six out of ten credit card users don’t know how much interest they are paying

New research has revealed that six out of ten credit card users don’t know how much interest they are charged, according to Yougov research commissioned by Klarna. In contrast, the research showed that consumers understand the headline terms and conditions of Buy Now Pay Later (BNPL) products better than they do credit cards. Having reviewed…

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Spending and credit card balances increased over the Christmas period

10th February 2022 Consumer Lending | #credit cards

Latest data from Fico has indicated that spending and credit card balances increased over the Christmas period. The average active balance continued its strong upward trend at £1,550 in December, although it will take several more months of continuous growth to reach the £1,719 average seen in December 2019. The percentage of payments to balance…

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More than half of consumers are paying interest on credit cards

5th January 2022 Banking and Loans | #credit cards

New research by TotallyMoney has shown that more than half (54%) of customers with an outstanding monthly credit card balance are paying interest, indicating that it could be costing consumers £1,831 by not transferring a credit card balance. The esearch shows customers are 31% more likely to be eligible for a credit card now than…

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Research finds Gen Z credit card usage is widespread

1st December 2021 Consumer Lending | #credit cards

New research by MoneySuperMarket finds Gen Z are some of Britain’s savviest credit card users, confidently using them as a tool to manage spending and reach long-term personal finance goals. Despite being a form of payment thought to be declining in popularity among young adults, well over half (59%) of 18–24-year-olds own one. Moneysupermarket said ,…

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Demand for consumer credit surges to £706m in October

Latest Bank of England data has shown that October saw a surge in credit card borrowing. Consumers borrowed a net additional £706 million last month, with new credit card borrowing accounting for £637 million of the credit, the largest amount of card borrowing since July last year. Between the start of the pandemic and April…

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