In a report by the Financial Times dated 22nd April, http://on.ft.com/1OK2KZ1 it was noted that consumer demand for credit cards had increased as investors are being squeezed out of the market by new regulations. With banks offering looser investing criteria and competitive rates, more and more people are taking on more credit, rather than refinancing and taking control.
In a report by the Financial Times dated 22nd April, http://on.ft.com/1OK2KZ1 it was noted that consumer demand for credit cards had increased as payday investors are being squeezed out of the market by new regulations. With banks offering looser investing criteria and competitive rates, more and more people are taking on more credit, rather than refinancing and taking control. Once interest rates and inflation rise, thereby increasing the cost of living, those families/individuals could end up not being able to afford to borrow any more.
Gillian Guy, chief executive of Citizens Advice, said “credit cards were the second-biggest financial problem the charity dealt with. Although the current low inflation means that there is more disposable income in the pockets of UK consumers and hence the cost of living is under less pressure, if you owe money, this may not be as good as it looks. The amount you owe will decrease at a slower rate and make repayment difficult. Therefore, rather than consuming the extra money you have at the end of each month and taking on more credit, it might be worth starting to use the extra money you have to make repayments. This will go a long way towards relieving those financial pressures and providing you with financial freedom.
At QuidCycle, we remove the obstacles of personal finance via low-rate consolidation loans that enable borrowers to pay off the money owed faster. Currently, our average APR is 11%. In addition, we take consolidation one step further. Borrowers are offered the opportunity of earning up to 4% cash bonus and free access to financial education and advice. However, it does not stop there. We go on to work with our borrowers until they become investors on our platform once their loan is repaid, using the money that formerly was used for repayments.
Furthermore, we strive to put the needs of our customers at the heart of our business, whether they are Borrowers or Investors. For that reason, we carry out strict affordability checks to ensure that you are getting the right product and interest rate for your circumstances, not sliding into further into the red, but rather, taking control of your finances.
Disclaimer: The above information does not replace financial advice. Please ensure you seek independent financial advice before making any decisions regarding your finances. We also recommend that you carry out your own research to ensure that this is right for your own unique circumstances. Please note that we sometimes link to other websites but we cannot be held responsible for their content.
Photo courtesy of ratch003 from freedigitalphotos.net