A government consumer White Paper due to be released on 2 July will begin a significant crackdown on the credit card industry and so-called payday loans which have plunged many consumers across the UK into significant debt. As we covered in one of our earlier post, the UK government has already indicated it will outlaw credit card cheques, many of which are sent unsolicited to potential customers trying to entice them to take out a credit card. So what exactly can we expect?

While this particular White Paper looks and feels very similar to the one issued regarding doorstep lending and illegal loan sharks, there are hopes that finally the UK authorities have got their act in order. The fact that it has come too late for literally hundreds of thousands of people across the UK is very unfortunate but hopefully, assuming these moves are watertight, literally millions of UK consumers will receive more protection in the future.

Despite the fact that unemployment continues to rise, more and more people in the UK are falling further and further into debt even though the economy is starting to show signs of stabilisation. The fact that UK taxpayers money has been used to bail out the banking sector will also ensure that UK tax rates increase in the short to medium term placing yet more pressure on UK consumers and UK businesses.

»» Return to Homepage

»» Full Credit cards News Archive

»» Loans for Bad Credit