‘Very few’ credit card holders get into debt
The number of credit card holders who end up in debt is small compared with those able to manage their finances, according to one expert.
Frances Walker, spokesperson for the Consumer Credit Counselling Service (CCCS), states that unforeseen changes in life circumstances are often responsible for debt and the majority are able to avoid it.
She said: “Something like between four and eight per cent of people who take out credit will get into difficulties, which is a small proportion, but obviously a huge number of people.
“Debt causes a lot of problems: it’s an emotional problem as well as a financial problem.”
She added that of the people who visit the CCCS, half have got into problems through no fault of their own, while the other half get into trouble for misusing credit.
The news follows statements from the CCCS earlier this week suggesting that the number of people seeking debt advice has doubled.
Consumers with outstanding repayments to several creditors may wish to take out a debt consolidation loan.
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