Credit card debt balances grow 8.5%

17th November 2023 Consumer Lending | #credit cards

Latest data from UK Finance has found that there were 377.9 million credit card transactions in August, 0.1 per cent fewer than in August 2022. The total spend of £20.6 billion was 2 per cent higher than August 2022. Outstanding balances on credit card accounts have grown by 8.5 per cent over the twelve months…

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Concerns raised over longer mortgages and rise in credit card use

The Bank of England’s Financial Stability Report has forecast a continued rise in households with high debt servicing ratios and an increase in the use of consumer credit. The report says that while households and businesses are already facing cost-of-living pressures and higher borrowing costs, the full impact of higher interest rates has yet to through…

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Credit card rates race past 23% for first time since 1995

17th July 2023 Consumer Lending | #credit cards

After a period of relative calm for the consumer credit sector, average rates on lending products registered notable increases through June as fears over sticky inflation linger, according to analysis of the latest Bank of England data from Freedom Finance. Through the first few months of the year, average rates on credit cards and personal…

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One in seven aged 65 reliant on loans and credit cards

23rd June 2023 Consumer Lending | #credit cards

More than 2 million people over 65 are known to be living in poverty, with at least a further 1 million also experiencing financial hardship according to research by Independent Age. In a survey of more than 1,000 people over 651, national charity Independent Age has found that one in seven (14%) people over 65…

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Outstanding balances on credit card accounts have grown by 9.6%

19th June 2023 Consumer Lending | #credit cards

Latest UK Finance card spending data on outstanding balances on credit card accounts have grown by 9.6 % according to its latest update for March 2023.  Outstanding balances on credit card accounts have grown by 9.6 % over the twelve months to March and 50.3 % of outstanding balances incurred interest compared to 52.3 %…

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One in five expect to pay for their 2023 holidays with credit cards

New research from Go.Compare has found that 3% of consumers will be paying for their holidays in 2023 using a credit card. In the research Go.Compare asked more than 2000 people about their holiday plans for 2023, where respondents were asked How are you planning to pay for any holidays you hope to go on…

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Credit card customers showing signs of financial stress 

20th April 2023 Consumer Lending | #credit cards

New analysis of UK credit card activity from FICO has revealed worrying payment patterns amongst customers who have held their cards for between one and five years, known as the established vintage. This group is showing increased rates of missed payments and other signs of financial stress. The research found that established vintage of credit…

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Credit card and personal loan rates decline in first quarter

Analysis of the latest Bank of England data on average quoted household interest rates from Freedom Finance has raised hopes that consumer credit rates may now be in reverse after a year of sustained increases in the cost of borrowing. The data shows that average rates on personal loans of £5k and £10k as well…

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More than 782,000 Scottish people expect to increase credit card use

22nd March 2023 Company News | #credit cards

Over 782,000 adults in Scotland expect to see their credit card use increase during the cost of living crisis according to new analysis from Citizens Advice Scotland (CAS). The research found that an estimated 782,529 adults in Scotland expect to increase their credit card use. Previous research from the charity found that close to half…

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Credit card rates dip after December repayments

9th February 2023 Consumer Lending | #credit cards

Analysis of the latest Bank of England data on average quoted household rates from Freedom Finance shows a mixed picture for the cost of consumer credit products at the start of 2023. Total credit card borrowing dropped in December as consumers repaid £0.5 billion of net credit card debt and this perhaps drove a more…

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Over 321m credit cards to be issued via digital assurance platforms globally by 2027

31st January 2023 Consumer Lending | #credit cards

A new study from Juniper Research has found that the number of credit cards issued via digital card issuance platforms will exceed 321 million globally by 2027, from 120 million in 2023. The research found that the growth of almost 170% reflects the use of new advanced digital capabilities, such as digital loyalty schemes and instant issuance,…

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Trend in missing one or two credit card payments raises concerns

Fico’s November 2022 report of UK card trends has found that consumers managed their credit card debt to keep lines of credit open for the festive season as spend increased month on month. However, the report also highlighted a concern for lenders, with a trend of consumers missing two or three payments. The research found…

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Credit card borrowing rises to highest level since 2004

5th January 2023 Consumer Lending | #credit cards

Credit card borrowing rose in November to its highest monthly level since 2004 according to latest Bank of England data. The figures showed individuals borrowed an additional £1.5 billion in all forms of consumer credit, an increase on the £700m borrowed in October, of which £1.2 billion was on credit cards (an increase of £400m…

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