According to a recent report many consumers with credit cards are now awaiting their New Year’s post with bated breath, dreading the moment when their credit card statement falls through the letterbox.

Many consumers have overdone it when it came to spending over the recent festive season, and always millions of credit cards took a real battering over the Christmas period with people spending more than they could realistically afford to without thinking of the forthcoming consequences.

It is even thought that the level of credit card spending that has taken place over the recent festive season is likely to lead to an increase in insolvency figures during the first few months of the year.

One industry expert stated: “Sadly, many individuals spend up on credit at Christmas and pay no heed to the financial warning bells. Come January, they find themselves in a situation where previous financial woes are compounded by the bills arriving from the festive season and in these situations insolvency becomes the only way out.”

The recent report shows that around one quarter of consumers aged 16 to 44 were dreading seeing their credit card statement arrive because of the frivolous spending that they had engaged in over the festive season. However, despite these worries many respondents in the study were more concerned with booking a holiday than getting their finances sorted.

One industry expert stated: “Sorting out your budget isn’t the most interesting thing you will do after Christmas, but it could be the most important. If you don’t make payments on time it can affect your credit history and at worst put your home and even relationships under pressure.”