Credit card supply could dry up

Wed, 27 Feb 2008

Consumers may have to look at higher cost credit if they need to borrow money in the coming year, it has been claimed.

Chris Tapp, director of Credit Action, explained that as lenders tighten their belts people may find it more difficult to obtain things such as credit cards, forcing them to look elsewhere.

He added that it was likely borrowing will fall in the coming year as people try to boost their savings accounts .

Mr Tapp said: "We're likely to see a reeling in of people's spending generally and coupled with that will be a reeling in of borrowing. People are looking to tighten their belts and try to save a bit more, but also, credit is less widely available so what we will see is a certain amount of growth in higher cost credit."

According to research by Debt Help UK 74 million credit cards have been issued in Britain.
add to favouritesnewsletterlink to this pagesend to friendpost comments

Link to this page

Copy and Paste the following HTML into your page.