Credit card charging habits changing

By UK CreditCards.com

Credit card habits changingCredit card spending habits have changed in the UK since the start of the recession, says debt specialist David Rodgers.

Rodgers, managing director of the Debt Advice Foundation, explained that many Britons are more concerned about borrowing and have curtailed their card use.

The comments come after accountancy firm PricewaterhouseCoopers (PwC) released a report on the credit card industry, in which it suggested that providers will have to innovate to survive in a tightening market.

PwC claimed that there is a "cooling passion" for using credit cards as an instrument for borrowing and in coming years it is likely the products will be used simply as a payment tool.

"The reduction in credit card spending by consumers in the last year has shown that habits are already changing," said Mr Rodgers.

"We expect [credit card firms] will become increasingly open to the debt solutions which are available to their customers but which require their cooperation."
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Published: 12 November 2009