Credit card debts ‘linger’ for big spending students

Credit card debtaccumulated while studying at university can remain a cause for concern for students long after they graduate, it has been suggested.

Search engine service Moneyfacts.co.uk warns that while student credit card limits tend to be relatively low, the resulting interest repayment demands can cause serious and persistent debt management difficulties.

In fact, for many students, who often will have no source of regular income, the credit card debt they accumulate can be impossible to pay off for months and in some cases years, according to Moneyfacts.co.uk.

“Don’t just bury your head in the sand and opt for the ‘plastic option’,” warns Moneyfacts.co.uk analyst Lisa Taylor.

“Whilst it may help you in the short term, if you are on a tight budget, it could prove to be a millstone around your neck for some time to come.”

A report from uSwitch.com earlier this week suggested that close to nine per cent of former students in the UK said they had considered entering bankruptcy to solve their debt problems.

track

Tell others:

shortlink