Credit Information


Inflexible Friends and Plastic Assets, Why Money isn't Buying Love Anymore


Consumers reject financial advice in favour of financial frivolity

It would appear that even though their "friends" aren't as flexible as they used to be, consumers are still stretching their credit cards beyond the comfort zone.

The vicious circle of debt manipulation involving banks, consumers and commercial credit companies is putting consumer spending under strain, as funds begin to dry up. In May 2005, the Financial Times reported the accusation that banks were fuelling Britain's personal debt problem by repeatedly offering debt-ridden customers loans they were unable to repay.

As the UK's personal debt increases by 1 million every four minutes, credit card spending habits still seem to be spiralling out of control. According to Credit Action, nearly 66% of the adult population have a credit card, with multiple card holding becoming a growing phenomenon in the UK. More than 60% of card holders possess at least two cards, with 10% holding at least five cards. There has also been a significant rise in the number of personal bankruptcies. In the year up to March 2005, 37,886 people were made bankrupt, a 30% increase on the previous year.

Credit Action reported that some credit card companies reduced their minimum repayments from 3% to 2% last month, which has been seen by some as irresponsible. To put this into perspective, a 3000 credit card balance at 17.9% APR would now take more than 40 years to repay if the minimum repayment of 2% is paid each month, in comparison to 19 years with the 3% minimum repayment. Barclays even warned of falling profits for the Barclaycard credit card division last month, as more customers missed repayments and bad debtors increased.

For those consumers with regular incomes and strong credit records, credit cards with APRs as low as 6.9% are available, that's less than half the standard APR most consumers have to pay on the cards in their wallet. By just using a variety of online personal finance tools, consumers can save themselves considerable grief by undertaking some financial homework.

In the UK, a variety of websites are available to compare credit cards, loans, life insurance, car insurance, mortgages, savings accounts, Child Trust Funds and current accounts. With just a few clicks of the mouse, a trusty search engine and a clear definition of the relevant search terms, such as "credit card guide" or "loans guide", the consumer can have swift access to a number of useful research sites including moneynet.co.uk, moneyfacts, moneyextra and uSwitch. These companies are specially set up to provide impartial consumer information and by using them for personal finance research, the consumer could effectively save thousands of pounds by choosing the most appropriate credit card, loan and mortgage accounts, not to mention securing good deals on car insurance, life insurance, travel insurance and household insurance.

Rachel writes for the personal finance blog Cashzilla.

http://www.cashzilla.co.uk/

Cashzilla is a psychological, technological manifestation of the financial pressure Rachel faced when she graduated from her very expensive, much extended degree.

Rachel uses Cashzilla as online therapy for the state of her finances.

Rachel has used http://www.moneynet.co.uk/ and http://www.creditaction.org.uk/ in the references for this article.


MORE RESOURCES:
This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news


Digital Trends

We're closer to China's disturbing 'Social Credit System' than you realize
Digital Trends
A bit like a financial credit score, only applying to how much stock we can put in a person's character, the idea is that using big data and A.I. algorithms to analyze trustworthiness can lead to a new era in upstanding citizenry. Or as the original ...



Forbes

Is Your Credit Card Less Secure Than Ever Before?
Forbes
News of credit card data breaches hit the headlines almost every week. Just in the last 30 days, major brands like Saks Fifth Avenue and Best Buy announced that people's credit card information was exposed. In the wake of more notorious hacks, like ...

and more »


Westfair Online

Rooted in Agriculture: Farm Credit East quietly serves financial needs of regional agriculture
Westfair Online
Blane Allen does not get ruffled if people are unfamiliar with Farm Credit East, the financial services cooperative that covers New England, New York and New Jersey within the Farm Credit System. “We specialize in the agriculture industry,” said Allen ...



NBC10 Boston

Boston Police Credit Tourniquet Use for Saving Stabbing Victim's Life
NBC10 Boston
A man who was stabbed near Boston's TD Garden survived thanks in part to the use of a tourniquet by police officers who were nearby, according to a statement by Boston Police. A 26-year-old man was stabbed in the leg on Portland Street Saturday night ...

and more »


Chang named adviser at Distributed Credit Chain
PE Hub (blog)
Distributed Credit Chain said April 20 that Matthew Chang was appointed an adviser to the project. Chang is a managing director at KKR. Distributed Credit Chain, of Hong Kong, is a blockchain company developing a distributed banking public chain. PRESS ...



Oops, Sorry EB-5 Applicants, Credit Cards Work with Only Some Forms
Immigration Blog (blog)
Two months ago USCIS announced that 41 of its forms could be paid with credit cards. At that time it had a list of forms that could be paid with credit cards, including the I-829, the form that immigrant investors in the EB-5 program use when they try ...



vtdigger.org

Nonprofits ask lawmakers to rethink charitable tax credit proposal
vtdigger.org
To replace the deduction, the bill created a 5 percent tax credit, for charitable gifts up to $10,000. Many nonprofits say capping the tax credit could eliminate the incentive for donors to give organizations gifts above the $10,000 limit. In a letter ...



cleveland.com

Veteran upset that credit bureau shows her address as 'high risk': Money Matters
cleveland.com
Q: I followed your advice and requested my free credit bureau report from Experian. I live at a Cleveland transitional housing building for veterans, some who need medical care. The credit report is showing my Lorain Avenue address as a business ...



Variety

Film News Roundup: California Production Tax Credit Extension Moving Forward
Variety
In today's film news roundup, California legislators have started working on an extension of the production tax credit, Golden Lion winner Lorenzo Vigas is working on his next film and Tribeca zombie thriller “The Night Eats the World” gets sold. TAX ...



Motley Fool

5 Ways Other People Can Ruin Your Credit Score, and How to Protect Yourself
Motley Fool
While a business credit card will not impact your credit, being added to your employer's personal card will, and it's not recommended. You can protect your credit score by becoming an authorized user only on accounts owned by people who are financially ...


Google News

home | site map
© 2007