You are here: Home - Credit Cards & Loans -

Shoppers stop flashing the plastic

0
Written by:
19/01/2007

According to a report from the British Bankers’ Association (BBA), credit card lending has decreased for the first time since 1993, falling by £1.6bn last year.

The reduction may in large part be due to credit card providers withdrawing special deals from the market throughout the course of the year.

Until 2006, many providers offered zero per cent balance transfers to new customers to tempt them to transfer their balances from rival card companies.

They retracted these offers throughout 2006 as increasing numbers of users defaulted on their credit card payments.

However, the BBA said that increasing numbers of homeowners withdrew equity from their properties instead – increasing the size of their mortgages and spending the money.

“Rising house prices mean there is equity available to be unlocked by homeowners,” said BBA director of statistics, David Dooks.

Tagged:

Tag Box

Debt

Pension

Spending

Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Storm brewing for insurers

Insurance companies face mounting costs after yesterday’s adverse weather conditions wreaked havoc up and down the country.

Close