Card Sharp: OFT To Simplify Credit Card Deals

NEVER mind the small print, many of us Britons struggle to understand the big print when it comes to credit card, mortgage and insurance deals. But now the OFT has decided to make the cost of credit card deals easier for us simpletons to understand.

The decision by the OFT to simplify the system has come after Which? magazine highlighted the fact that consumers were choosing credit card deals without being aware of all the issues which affect the cost of the card.

The magazine also found that the 20 biggest credit card providers used an incredible 12 different methods to apply interest charges, which are worth around £400million a year.

The OFT chief executive, John Fingelton, says: “Credit card pricing has become increasingly complex, with many new dimensions such as interest free periods. While these give additional choice and value to consumers, they can make it harder to make informed decisions.”

The investigation is expected to take up to six months to complete, and will be run in conjunction with the credit card industry.

In the meantime, let’s here it for debt…

Anorak

Posted: 26th, June 2007 | In: Money Comment | Follow the Comments on our RSS feed: RSS 2.0 | TrackBack | Permalink