A somber Christmas for “credit cards”

Posted 2007-11-2

A new report claimed today, that providers and retailers, will see a drop in credit card usage this holiday season.

Thomas Charles a debt consultancy, surveyed almost 2,000 adults, way ahead of what is considered the most hectic time for shops. Their results showed that nearly a quarter of them intended on restricting usage of their credit cards.

In addition, nearly 10% claimed that they would try their best not to use their plastic for any major transaction over the next six months and more.

A separate result of this survey, explained why people felt so. This result showed that almost 15% had an unsecured debt from their creit cards and loans which amounted to more than 10,000 pounds.

People have been dependent on their credit for daily expenses. This is because of an increase in interest rates and mortgage raises following accordingly, explains James Falla, Managing Director of Thomas Charles.  He adds, these results are evidence of the fact that Britons have begun to make positive changes by acknowledging and dealing with the debt that they have. While it’s good news for the common man, it’s not all that rosy for shops who have come to depend on consumers spending huge amounts on their credit card during the Christmas holiday season.

It is estimated that the grossly large amount of 1.5 trillion pounds is total debt amongst Britons.

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