It is reported that the level of personal debt in the UK now stands at a staggering £1.2 trillion, and that this debt level is increasing.
However, a report on credit card spending for 2005 from the Association of Payment Clearing Services (APACS) has revealed a shift in cardholder behaviour.
The amount that is being spent has started to level off, having risen by just 1% to £124BN, whilst the number of transactions has fallen by 1% to 2.1bn. In addition to this, the report notes that the level of debt repayments has increased. The number of card holders who repaid their credit card in full each month rose from 56% to 59% with 95% of all spending in 2005 repaid in full.
APACS have speculated that this change in behaviour is due to nervousness about economic growth.
To read the APACS report visit APACS.