Credit card write-offs on the rise
02 September 2010 10:16:13
 |
| Banks writing off a record amount of credit card debt. |
New figures published by the Bank of England have revealed that the value of write-offs in April, May and June reached £2.1bn, representing a £0.8bn rise from the previous quarter.
In addition, the central bank's study showed that £1.2bn was written off in overdrafts, personal loans and hire purchase agreements.
Mark Sands, director of personal insolvency at accountants RSM Tenon, explained that the impact of the recent recession is now beginning to be felt by some Britons.
"It is not necessarily that people have lost their job, but they have lost their overtime, an extra shift or have had a pay cut," he said in an interview with the Daily Mail.
Meanwhile, the British Bankers' Association claimed recently that credit card repayments by UK consumers totalled £6.2bn in July, compared to £5.9bn in new spending.
‹ Back
Other Credit cards News
-
Bank withdraws charity credit card scheme
Lloyds Banking Group will no longer offer charity credit cards. -
Nearly one in five new retirees owe money
Many retirees have outstanding credit card debts. -
Prepaid travel cards for gap year trips
Prepaid travel cards offer a safety net to young 'gappers'. -
Credit card use to rise in January
More people expect to rely on credit cards in January.
All Credit cards News
Other Home Page News
-
Think twice before taking out a payday loan
Payday loan customers may experience severe financial problems in future. -
Planning a trip? Here's where to spend your travel cash
Sterling has made strong gains against many currencies this year. -
Make sure you know your likely broadband speed
Many ISPs are still not being upfront about broadband speeds. -
Save money by checking out fixed-term energy deals
Energy costs are expected to rise again this winter.
All News Stories
Product Offers
Please ensure that you fully read the terms & conditions of any product or policy before you decide to proceed and are fully aware of the total costs and the benefits and any exclusions or limitations applicable to the product or plan.
Please note that the product links will take you direct to the Issuer or Insurer's site direct and we cannot be held responsible for the information which they provide within their own sites. On some comparison tables we use a star rating which rates products by visitor popularity.
Please ensure that you fully read the terms & conditions of any product or policy before you decide to proceed and are fully aware of the total costs and the benefits and any exclusions or limitations applicable to the product or plan.
Please note that the product links will take you direct to the Issuer or Insurer's site direct and we cannot be held responsible for the information which they provide within their own sites. On some comparison tables we use a star rating which rates products by visitor popularity.