Credit card firms ‘upping their rates’

The average annual percentage rates (APRs) being charged by credit card providers in the UK has been increasing in recent months, according to a new report.

Figures compiled by MoneyExpert show that after their zero per cent balance transfer period is over, British consumers can expect to pay an average APR of just over 16.1 per cent on their credit card debt.

Typically, the zero per cent introductory period lasts for ten months but borrowers have been warned that 23 credit card firms have set their APRs above 18.9 per cent.

Furthermore, MoneyExpert has pointed to previous research showing that many people are seeing their debt management situation made worse by reductions in their credit limits.

“The latest findings are yet more evidence of the clampdown by credit card companies on customers,” a statement from the company behind the research suggested.

Last week, CreditExpert reported that almost half of all credit card users in the UK are unaware of the APR they are being charged.

Writen by Dan Mather