Spending on Credit Cards Takes a Nosedive

As student loan consolidations most expensive time of the year nears an end, figures taken from a recent survey suggests that many people decided against using their credit cards to purchase their presents this year. With the credit crunch holding a tight squeeze around most people's wallets, many have decided to avoid using their credit cards to try and stay out of debt for the New Year.

As a replacement, many people are using what money they have and are paying for things through either cash or debit cards. From the people who were surveyed to retrieve these figures, many of those who were asked commented that over the last few years they have lost faith in the credit card companies and feel they have been treated unfairly as individuals. The research also shows that only 1% of those who are living in Wales were planning to purchase their Christmas presents, food and drink on their credit cards this festive season. This is a very small percentage when compared to England which was at 28%.

Even though there has been a reduction in the amount of people using credit cards, they are still being used by many people in the UK for more general and less expensive items, usually costing up to 20. The credit card companies have commented that this change in spending has not affected them hugely and said it was to be expected considering the current financial crisis that the nation is in, however they do expect a rise in the number of people using their cards again in the New Year.

With things currently the way they are and spending slowing down on moneysupermarketcards/cards, we can expect to see a lot of deals on credit cards and home mortgage refinance tip free credit cards in the new year.