Britons 'must be aware of credit charges'

Consumers using borrowed cash to fund Christmas this year must make sure they are fully aware of the charges attached to loans.

That is according to Rachel Springall, spokeswoman from online resource Moneyfacts, who has insisted knowing exactly the rate of interest they will accrue on credit card purchases is vital for Britons.

Ms Springall indicated a good option for individuals who cannot get by without taking out credit is to sign up for a cashback product, as these can limit the damage caused by spending on plastic.

However, she went on to warn that opting to facilitate the overdraft on their bank account could be a dangerous ploy, as many banks and building societies charge daily fees to customers who exceed their balance without authorisation.

Recently, research conducted by the Samaritans found that 50 per cent of people in the UK feeling under pressure at the moment are most worried about their debt problems. ADNFCR-2353-ID-801248800-ADNFCR

23/12/2011 12:22

News category: Consumer

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