Inflation pressure and secured loans
27/02/2008Consumers who are putting of credit card and debt repayments could find they begin to struggle as inflation takes hold, one expert has suggested.
According to a spokesman for Credit Action, the UK money education charity established which offers advice and support to consumers, said that as their wages are stretched further credit card debt can become more of a problem.
Chris Tapp, director of the organisation, said that in times of financial difficulty it was advisable for consumers to avoid turning to their credit cards as this can put further pressure on the monthly budget.
"As inflation kicks in, people find that more of their take-home salary is taken up paying for day to day expenses, so they are forced to use their credit card more than they would have done previously just to get by month to month," he said.
Many people find that the pressure of debt can be eased by secured loans, which can be used to tackle credit card debt and reorganise finances.
 © Adfero Ltd
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