Credit Agency warning on Credit Card debt

18/01/2007

According to a leading credit reference agency people have been advised not to mount up additional debt on their credit cards during this month.

MyCallcredit have advised people to “do their sums” and possibly look to dip into their personal savings in order to repay balances that are owed on their credit cards.

The credit agency have advised people to attempt to pay more than the minimum monthly payments and if they are having problems keeping up with payments then they should look to speak to the creditors immediately. In addition, paying off credit cards that bear the higher interest rates is also recomended.

"There is an enormous temptation to overspend at Christmas and worry about it later, commented Melanie Mitchely, a spokesperson for the company.

"With the unexpected interest rate rise pushing up the cost of debt it is more important than ever that people monitor their debt situation." She also added.

It is important that those with debts look to plan in the near weeks of how the can budget to repay their credit cards.

Recent research indicated that around 52 per cent of people intend to wipe out their festive debt by the beginning of February.