Annual Percentage Rates (APRs), interest rates, the length of the interest-free period, the minimum repayment and other debt charges are to be included in a bid to improve the credit industry’s reputation.
“The launch of the credit card cheque summary box is another step forward – helping customers to easily understand and compare costs of credit card cheques at-a-glance,” said Sandra Quinn, director of communications at Apacs.
Credit card firms and banks have come under fire recently with claims of irresponsible lending leading people into debt.
Mailshots for credit cards already have summary boxes and the success of these means that they are to spread to credit card cheques, which often have high interest rates which push people into debt.
Ms Quinn added that the move was part of an “ongoing aim to achieve transparency in our products and responsible lending practices”.