Credit card providers are raising costs through increased interest rates, despite a low base rate, and hidden charges, according to new research by Which?.
The consumer group found that 28 lenders had increased costs through interest rates and hidden charges as well as reducing the number of days to pay and the number of interest-free days over the last year.
Credit card customers have seen interest rates up by four per cent for banks such as Natwest, Royal Bank of Scotland and Mint, when the average rise was 0.5 per cent.
Martyn Hocking, editor for Which? Money, said: "At a time when we're all feeling the pinch, it's hugely disappointing that credit card companies are choosing to put the squeeze on borrowers more than ever."
Credit card provider Egg recently announced it was raising its withdrawal charges from 2.5 to three per cent, as research from uSwitch.com showed that 7.3 million people use their cards for withdrawing cash .
| credit card news |
|---|
| Late credit card payments growing - Wed, 21 Jul 2010 |
| Halifax credit card may not be right for everyone - Fri, 09 Jul 2010 |
| Credit card provider reveals parents hit by summer holiday premiums - Mon, 05 Jul 2010 |
| More News |
Simplyhealth Dental Plan
Affordable cover from only £7.50 per month. Join now and get first month FREE
Income Protection Insurance
Get an instant quote with the award winning company
Amex Cash Back
Credit Card
Credit Card
Get 5% cash back on purchases with Amex
Credit card companies squeeze customers, says Which
Mon, 27 Apr 2009
Recommended links
Credit card comparisonsCredit card advice guides
Reclaim credit card charges
Why credit card charges are unlawful
Credit card charge reclaim services
Compare credit cards and issuers
Egg provider profile
Natwest provider information
Compare credit card deals of the day
0% APR credit card offers
Credit card customers should switch for savings
Credit card companies change terms for 2.5 million people
Credit card companies still want to lend
news content
Search
