Credit card firms profit hugely due to missed payments
by Kay Murchie
With credit companies charging approximately £12 each time a consumer misses a payment, it is anticipated they have made roughly £61million.
Research from MoneyExpert has established that over 5 million people have missed monthly credit card payments in the last 6 months - a 2% increase on the previous 6 months.
Sean Gardner of MoneyExpert said there are other aspects to think about when missing a credit card payment, not just £12. The effect of a payment can last as long as 3 years on your credit file and it will be used by firms to decide whether they’re going to lend you cash and what they’re going to charge.
With the credit squeeze ongoing, increasing interest rates, petrol prices and energy bills, people are really starting to struggle and those spiralling towards debt need to take action immediately or risk further penalty fees and, ultimately, damage to their credit rating concluded Mr Gardner.
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