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Credit cards shouldn’t be used for small purchases

Credit cards shouldn’t be used for small purchases

Category: Credit cards

Updated: 09/02/2009
First Published: 06/02/2009

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 It is now over 6 months old so the content may be out of date.

Credit card customers should avoid using this form of finance for small purchases, a charity has warned.

The Consumer Credit Counselling service noted that unless a card has a zero per cent interest rate, shoppers will ultimately end up paying more.

"People should avoid using their credit cards for unnecessary purchases that they can pay for there and then," said a spokesman.

And he noted that cash withdrawals can also work out as being "far more expensive", despite the temptation that may be offered by the convenience of credit cards.

Those who do feel the need to use this form of finance may find that a reward credit card is the best option, as offers such as cashback are available.

A recent study by the Post Office showed that 2.6 million people are intending to use their credit cards for everyday purchases more often this year than they did in 2008.

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