“Financial suicide” to pay mortgage off by credit card

People who pay off their mortgage by credit card are placing themselves at risk of future debt, it has been claimed.

Richard Sorsky from the UK Insolvency Helpline Debt Advice Service said individuals who are withdrawing cash to pay down what they owe on their property are committing “financial suicide”.

The specialist explained consumers are opting for this payment method because of fear.

“We’ve done a bit of our own research and we’ve actually seen that people are paying their tax bills by credit card because they’re scared of the Inland Revenue,” he observed.

Mr Sorsky added customers who use their credit cards to purchase goods on the high street, rather than through their current accounts, are also placing themselves at financial risk as the bills will arrive every month and they are just paying off the minimum.

Statistics released by moneysupermarket.com have revealed a significant number of Britons are relying on credit cards for day-to-day spending.

By Joe Shervin