Shoppers 'should not panic buy on credit cards' - Credit cards - News - Moneyfacts

News News brings you the latest financial & economic news & reviews of the best products in the UK by our team of money experts.

Shoppers 'should not panic buy on credit cards'

Shoppers 'should not panic buy on credit cards'

Category: Credit cards

Updated: 01/12/2008
First Published: 01/12/2008

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Consumers have been advised to shop around and avoid panic buying using credit cards as Christmas approaches.

According to Callcredit, 55 per cent of adults in the UK are planning to cut back this year, with this figure rising to 60 per cent for those between the ages of 25 and 34.

Last week chancellor Alistair Darling announced a 2.5 per cent cut in value added tax in order to encourage spending and provide relief.

And head of the credit reference agency's credit file checking service Owen Roberts noted that shoppers should be aware of their financial situation in order to avoid getting into debt.

"Despite the recession and recent financial turmoil, Christmas 2008 should still be as fun and enjoyable as possible. Spending less does not necessarily mean a bleak Christmas," he added.

Callcredit recently backed a decision by the credit card industry to share more information in order to identify consumers that could be struggling with debt.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Credit card mistakes cost borrowers £948m

At this time of year, many people could be turning to balance transfer credit cards in an attempt to overcome their Christmas debt. However, many of these borrowers could get caught out in the year ahead, and they could end up paying for it.

6 of the best balance transfer credit cards

Does the thought of opening your credit card bills fill you with fear? If so, you're not alone! Christmas may be over, but unfortunately, many people will still be paying for it, after turning to credit to cover the cost of their festive spend.

Get a better credit score for the New Year

A new year means a fresh start, and one of the best things you can do is take a cold, hard look at your finances – particularly when it comes to your credit score.