How much do you pay each year in credit card fees?
New research from a leading comparison website and from the bank Santander has found that consumers are potentially wasting millions of pounds each year in unnecessary credit card charges.
The reports urge credit card users to use their cards more carefully in order to avoid these charges.
£150 million wasted each year on late payment charges
Research from a leading comparison website has found that British consumers are wasting £150 million every year on late credit card payment fees. According to the data, 57.7 per cent of credit card customers do not have a direct debit set up to make the minimum payment, resulting in thousands of late payments every month.
Missing a credit card payment by not having a direct debit set up costs, on average, £12 every time.
Chris Griffiths from the website who conducted the research said that setting up a direct debit to make the minimum payment on a credit card ‘is such a simple thing to do, yet well over half of credit card holders haven’t done it’.
Brits paying excessive credit card charges whilst abroad
A separate report from Santander has also found that Brits may be paying excessive credit card charges if they use them whilst abroad. Ian Coles, Director of Santander Credit Cards advised travellers to do their research to find the best credit card which can help them avoid charges overseas.
Research by the bank has discovered that an average family holiday taken during the half term holiday costs 53 per cent more than a similar holiday taken a fortnight later.
Mr Coles said: “The price of the hotel and flights is only a fraction of the overall holiday cost, particularly for active families and those with children, but there are ways to reduce everyday spending and cut out unnecessary costs whilst abroad.
“As a first port of call, holidaymakers should ensure they are only spending on a credit card whilst abroad that offers them fee-free foreign usage.”
