Most borrowers in the UK have become used to having to accept borrowing costs and interest rates without question when taking out finance, and therefore when credit card providers push up the borrowing costs and interest rates on our credit cards many of us don’t take any action but simply make the higher repayments. However, a recent report has suggested that too many consumers are simply sitting back and letting card companies get away with extortionate rate and charge hikes, and that consumers need to start taking appropriate action.

Whilst many cardholders think that they are being ripped off by credit card providers in terms of the fees and charges that are applied, many simply sit back and pay it despite their feelings. However, industry officials have said that cardholders and borrowers do not have to put up with these hikes, and if they feel that they are being charged too much on their cards they should look at finding another suitable, more competitive card.

One industry official stated: “As prices continue to rise, many more consumers are seeing their credit card bills increase. Even if you are not one of the people who is having to use your credit card just to get by each month, the likelihood is that you have been hit by an increase of some sort from your card provider.”

Another said: “I’d strongly advise those with an outstanding balance to move to the longest term 0% balance transfer available, currently Capital One, followed by Virgin, to keep your interest down. If you are thinking of paying off over a longer term, look for a low rate for life or a low standard rate credit card.”

Recent research has shown that there are now around seventy two credit cards that charge 17.9% or more in interest, and officials have said that there are better deals to be had out there for those that take the time look and apply. Cardholders looking to make purchases on their cards could save money by switching to a more competitively priced card, and those with existing balances on high interest credit cards could benefit from a competitive 0% balance transfer deal.