Secured loans to address 'credit card concerns'
05/03/2008Consumers dealing with the effects of the recent credit crunch could put themselves at risk by turning to high interest lending, one expert has warned.
According to a spokesman for MoneyExpert, there is serious concern over people who may be running up expensive credit card debts when they find that their salary is not covering their monthly expenses.
Sean Gardner, chief executive of the group, said: "There has to be real concern if people are using cards to keep their head above water. Anyone who is trying to juggle five or more credit cards and owes money on all of them is in real trouble."
His comments follow a recent survey from MoneyExpert which revealed around 78 per cent of people have at least one credit card, with 24 per cent owning two and 1.8 million people state admitting to having more than five.
Many people take control of their spiralling credit card debts with a secured loan, which can offer a more competitive rate of interest than traditional forms of lending.
 © Adfero Ltd
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