Credit cards have seen a steady increase in interest despite a lowering base rate, according to financial advice website Moneyfacts.co.uk.
In a survey of the market, the site found that competitive-rate credit cards have vanished and been replaced by higher-interest deals, with 12 products from American Express, Bank of Scotland and others seeing a price hike in the last six months.
Those who are making the minimum credit card repayments required will be the hit the hardest, according to the website, with an average £408 more interest put onto balances of £2,000.
Michelle Slade, analyst at Moneyfacts.co.uk, said: "With only a handful of cards on the market linked to tracking base rate, very few have seen any benefit from the current all time low base rate."
moneysupermarket.com recently advised those with credit cards that larger repayments on debt will reduce the amount they pay in the long run.
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Credit card rates continue increase
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