Tuesday, February 23, 2010

Credit Card interest rates hit a 12-year high

Credit Card Crisis

NICK MCDERMOTT
Daily Mail
February 16, 2010

Credit card interest rates have climbed to a 12-year high, leaving millions facing crippling repayments on their debts.

Despite historically low Bank of England base rates, the average interest charged on a credit card has soared to 18.8 per cent – the highest level since 1998.

Some consumers now paying more than 40 per cent on the cash they have borrowed.

This means that credit card borrowers with a debt of £5,000 on their card – who make only the minimum repayment each month – will now repay an additional £2,289 over the life of the debt compared with what they would have paid four years ago.

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1 comment:

  1. :) in Russia these rates are already since years not less, than 24%, now everage rate nears 30% in home currency. And that with inflation about 12%...

    ReplyDelete

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