The comparison site MoneyFacts recently announced that the average credit card interest rate is now a staggering 18.8% and that the highest rate on the market was a whopping 46%. Since 2006 the average credit card interest has increased by 4%, with the credit card providers blaming unpaid credit card bills as the reason for the huge increase.

Nearly 7,000,000 people with credit cards have seen their interest rates rise over the last 12 months. MoneyFacts also said that an average borrower with around £5,000 on a credit card, paying a minimum amount each month would pay a total of over £2,000 more interest over the life of the balance then what they would have paid in 2006!

Director General of the Institute of Directors, Miles Templeman said, ‘It seems that more businesses are turning to forms of unsecured finance, such as credit cards, to get them through their short-term spending needs’.

It has also been suggested recently that 2 out of 5 credit card borrowers were using their credit cards to buy everyday items, such as food and petrol.

If you are struggling with your credit card debt and would like to speak to someone about reducing your credit card repayments or even writing of up to 75% of their credit card debt then, Click Here to get in touch or call us for free debt advice on 0800 988 3359.