Extent of credit card debt revealed

By UK CreditCards.com

Extent of credit card debt revealedMore than a third of all unsecured debt over the past 18 months was run up due to credit card balances, EuroDebt revealed.

According to the debt management firm, average unsecured debt reached nearly £29,000 over the past year and a half, with credit cards accounting for 34% of this.

Kevin Still, EuroDebt director, added: "The analysis of a sample cross section of over 4,300 debt management plans with EuroDebt showed that typically our clients have just under three credit cards and an average balance of over £3,600 per card."

Consumers who are in debt should be wary of falling victim to scammers who seek to benefit from their predicament however. Reports have suggested an increase in loan sharking as a result of the recession, with people struggling financially and banks unable to lend.

Additionally, EuroDebt warned consumers earlier in the month about debt management firms that claim to be able to wipe out credit card debt.

Published: 3 June 2009