Credit Cards
Credit Card Debt Help
Please call out debt advice team on 0800 074 6918 or apply online to get detailed advice on debts incurred on credit card. Our experienced debt advice team will be able to offer various solutions that could help you reduce credit card debts.
In the UK credit cards are offering by over 50 different organisations ranging from major high banks to small private companies. They are without a doubt the main cause of debt in the UK. The credit card industry has a credit card for every one with interest rates of up to 30% interest rates for those with bad credit to 0% interest rates to lure new customers.
What are credit cards?
- A credit card is a small plastic card issued to users as a system of payment.
- A credit card lets its owner buy goods and services on credit.
- If a credit card is paid off monthly then there will be no interest charged.
- If a credit card balance is not paid in full each month then the balance is subject to interest. The credit card balance is called an unsecured debt.
Credit card debt can be very expensive
A credit card can be a useful payment method however over use of a credit card can start a dangerous debt cycle of expensive high interest credit card debt. The key with credit card spending is pay off the balance in full every month, don’t overspend and don’t build up unnecessary debts just because you don’t want to wait till you can afford items.
Top tips on avoiding credit card debt
- Avoid credit card debt problems by not falling for all the fancy credit card adverts on TV or in the media.
- Don’t over rely on a credit card. Its far better to save up for items and buy then when you can afford them
- If you have savings in the bank, use them first instead of using a credit card.
- If you are going to use a credit card, its best to shop around for one that offers the most benefits. In the UK there are credit cards offering loyalty rewards, low interest rates, deals for balance transfer and credits cards for those with poor or no credit.
- Make sure you know what the interest rates are on your credit card.
- Pay the balance in full on your credit card statement every month.
- Always pay your credit card on time to avoid credit card late charges. credit card companies can raise your interest rate if you are become a constant late payer
- Don’t apply for too many credit cards as it may harm your credit file and certainly don’t carry lots of different cards on you at any time.
- Never draw out cash on a credit card as it is subject to enormous fees and charges.
- If you need a credit card for emergencies or day to day expenses best credit card look for a trustworthy credit card comparison sites on the internet.
- Always look for deals where you can transfer your credit card debt to a lower rate.
- Avoid the tricky zero percent 0% credit card advertisements that lure you in with a low rate and then increase the rate after a few months.
There are various charges incurred with credit cards such as:
- Interest charges
- Late payments charges
- Exceeding limit charges
- Annual charges
If you are experiencing problems with credit card debt please call us or apply online for credit card debt advice.
