50% of Brits clearing their credit cards

According to recent reports consumers in Britain seem to be wising up when it comes to sensible use and repayment of credit cards.

Although credit cards are very convenient and flexible, they are often mis-used or abused by consumers, and this can lead to many problems. The interest rates on standard credit cards are also notoriously high, and those that do not manage their cards and repayments properly can very quickly find themselves at the centre of a mountain of credit card debt that just seems to spiral onwards and upwards.

However, according to the Consumer Credit Counselling Service around half of Brits with credit cards are getting far better at managing their accounts. The Consumer Credit Counselling Service claims that around fifty percent of Brits are now repaying the balance on their credit cards in full, which means that they don’t get charged any interest, don’t run the risk of late repayment fees, and can make the most of rewards such as cash back, air miles, or rewards points.

Officials from the Consumer Credit Counselling Service have stated that this is the ideal way to make the most of credit cards, as you can enjoy the convenience and ease of credit card use without the risk of running up unmanageable debt or having to make repayments on your balance for years to come.

One official from the CCCS stated: "If you borrow £2,000 on the average credit card, never borrow another penny… and just pay the minimum amount, it's going to take you 20 years to clear that."

The data from CCCS also showed that between four and eight percent of credit card users end up getting into unmanageable levels of debt through their credit card spending, with around fifty percent of these getting into this situation through unforeseeable circumstances and the other fifty percent through mis-use of their credit cards.

Tom Smith
10th June 200