Anyone worried about the cost of their plastic should get professional advice on how to eliminate credit card debt. A reputable debt counsellor can give expert advice on the debt solutions available.
(PRWEB) June 4, 2006
The news that several major credit card providers have cut their penalty charges has been generally well received, but debt help site The Debt Help Site insists that the priority of consumers should be to eliminate credit card debt altogether and thereby pay no credit card charges whatsoever.
Barclaycard, Lloyds TSB and HSBC have all recently announced a reduction in their credit card penalty charges from £20 to £12. This follows a report from the Office of Fair Trading (OFT) calling for all credit card providers to lower their penalty fees.
According to the OFT, consumers have been overcharged by £300 million a year in credit card penalties, and the report claimed that the charges had been set "significantly higher" than was legally fair.
Despite some companies heeding the OFT's advice, a significant number of major credit card suppliers have yet to announce any reduction in penalty charges.
What's more, while reducing its penalty charge, Barclaycard have announced plans to increase its interest rate.
Therefore, The Debt Help Site believes that, rather than take comfort in a reduction of penalty fees, consumers should endeavour to eliminate credit card debt and ensure they pay no fees or interest at all.
The problem of credit card debt in the UK continues to grow: the Bank of England reports that credit card debt for April reached £363 million, up from £118 million in March.
However, The Debt Help Site insists there are many debt solutions available to people suffering financial difficulties and they are encouraging those with debt problems to seek professional advice rather than accept modest concessions from the credit card providers.
Terry Galvin, editor of The Debt Help Site, says: "Credit card debt is costing too many people too much in the form of interest and penalty charges. However, there are plenty of options available to deal with the problem.
"Anyone worried about the cost of their plastic should get professional advice on how to eliminate credit card debt. A reputable debt counsellor can give expert advice on the debt solutions available."
Fore more on how to eliminate credit card debt, visit http://www.debthelpsite.net