Financial News

• Brown dismisses housing crisis fears (09 04 2008 10:15)
• Mortgage hope offered by bank (09 04 2008 10:15)
• Consumer morale 'falls again' (09 04 2008 10:15)
• Bristol & West withdraws deals (09 04 2008 10:15)
• Retirees feel 'unhappy due to no longer working' (09 04 2008 10:15)
• Severn Trent to be fined £36m (08 04 2008 04:15)
• Brown to announce first time buyers help (08 04 2008 04:15)
• UK bank details 'for sale by thieves' (08 04 2008 04:15)
• Last 100% mortgage to disappear (08 04 2008 04:15)
• High earners 'shut out of market' (08 04 2008 04:15)

Subscribe!

Credit Action: Don't use cards to pay off your mortgage

Financially-stretched consumers will struggle to pay off their debts in months to come due to rising inflation, charity Credit Action said yesterday.

More costly food and utility bills are to blame for the trend - which could see some consumers struggling with repayments on money previously borrowed.

Many could also turn to using high-interest credit cards in order to pay off other outstanding debts including mortgages, director of Credit Action Chris Tapp warned.

"This is a very worrying scenario to find yourself in and at that point – when you start using your credit card as a necessity, or you're unable to pay it off month by month - you should go and get help.

"If you are using your credit card to pay your mortgage, it's a worrying indicator because you can't do that forever."

The comments also bring home the importance for credit-seeking consumers of securing a competitive loan rate from a reputable personal loan provider.

Taking out a consolidation loan can also be an effective solution for people struggling with paying off debt from many different sources.

Send this article to: