Credit cards are costing us more

In 2006 the Office of Fair Trading (OFT) decided to make sure all banks and building societies who issued credit cards had their default charges capped at £12 as opposed to the £25-£35 charges that many people experienced when going overdrawn or missing a repayment.

This actually caused many people to get stuck in a perpetual circle of debt and started the bank reclaiming charges revolution by the money saving expert, Mr Lewis.

However, to make up the difference for their loss, credit card APR’s have increased on average by about 2%, whilst other increases have been made for other services too.

Read more about your average credit card costs rise at FinanceLocator.co.uk