5m Brits miss credit card repayments

Posted 2008-01-30

More than five million people have missed monthly repayments on their credit cards since July, MoneyExpert.com has revealed.

Some 11 per cent of all cardholders missed at least one payment during the past six months, marking a two per cent half-yearly increase on credit card arrears that translates into £11 million more penalty feeds.

Londoners were found to be the most irresponsible when it comes to plastic - with 15 per cent forgetting to meet their repayment schedules - while just nine per cent of Northerners made the blunder.

As a nationwide trend, however, MoneyExpert.com suggested the latest figures mark disturbing new evidence that many borrowers are beginning to buckle under the pressure of longstanding debt and newly-tightened lending criteria.

“Debt worries have shot up the agenda as people start to count the cost of the UKs borrowing spree over the past few years,” commented Sean Gardner, chief executive of the site.

He added that the effect of missing a payment goes beyond the average £12 penalty as it will also be recorded on your credit file - potentially hindering your ability to secure finance in the future.

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