Loans could be more cost effective than credit cards
19/03/09
According to new research debt on a secured loan may be more cost effective for borrowers than putting expenses onto a credit card.
About thirty-six per-cent of credit card owners in the UK try to ensure that they clear their outstanding balance on their card every month or they try to make sure that they have no debt on their credit card a study from Abbey found.
According to the findings by the Abbey, credit card users in the UK have about £3,200 outstanding on their cards and around sixty-nine per-cent of British people have a minimum of one card.
Credit card users often try to transfer deals to other credit cards to get a better interest rate however they could still be paying much more than they should in interest.
A secured loan may be a better option for people who are looking for extra cash as interest rates can be much more competitive.
