Bad credit card raising in UK: a real problem?
A new, may be predictable situation, is rising in the UK financial market and resulting in dangers for british economy , wouldn’t be undervalued. We are talking about the increasing number of Bad Credit Cards if compared to Credit Cards in circulation .This is what can be argued by a recent analysis of Uk financial market made by PwC. The total Bad Credit Cards debts would be reach 9%(now is 6%) of all outstanding Balances by the end of next year,some experts said.What would it mean for millions of UK citizens. Of course, lower availability of credit cards , higher annual fees and growing borrowing rates on cards. More over, rising unemployment and lower willingness of british citizens to take on more unsecured debts .What can be done to try ,at least, to delay this dangerous trend which would involve the whole Uk financial market and later, may be ,all british economy. The government suggested to change credit card agreements, in order to make them more affordable for consumers, and there’s the willingness of preventing card companies from putting up interests rates on existing debts and increasing spending limits with no agreement. The government is planning some more strategies to try stopping present difficulties in UK financial market,but that’s would not be enough. Anyway, PwC remarked that even though UK citizens now are borrowing less and less than earlier, UK debts level are still higher if compared with the rest of Europe.
