Government sets out credit card reforms
3 Jul 09
Consumer white paper to tackle debt
The Government has set out wide-ranging reforms to the credit card industry in its white paper A Better Deal for Consumers: Delivering Real Help Now and Change for the Future.
The white paper sets out a proposed ban on unsolicited credit card cheques, and would forbid lenders from being able to raise borrowers’ credit limits without their consent, or increase interest rates on existing debts.
Figures from the Bank of England show that UK residents owe £233bn on credit cards, overdrafts and other loans.
The proposals and actions are expected to form the basis of a consumer policy that is able to adapt to change and help all consumers make informed and responsible choices.
You can read the full Consumer White Paper here