BRC defends store cards
The British Retail Consortium (BRC) has said that it is down to customers themselves to decide whether store cards are an "appropriate choice".Provided the rate of interest on store cards is "made clear to customers" and "there is full transparency of all terms and conditions" it is up to consumers to judge whether a store card is right for them or not, said Dale Atkinson, press officer for the BRC. Mr Atkinson said: "These cards offer a range of benefits to customers, including special promotions for cardholders, discounts and the opportunity to accumulate transaction-based loyalty points."However, store cards have been subject to intense criticism over the rate of interest they charge on purchases - which can be anything up to 30 per cent annual percentage rate (APR), twice the rate of a typical high street credit card.As of May this year, it became law for store cards to print the rate of interest on account statements if the APR exceeds 25 per cent, following a Competition Commission inquiry, which found that the store card market was "insulated" from competitive pressures. Many high street shops, including IKEA Home, Debenhams, Mothercare and New Look offer the cards, which typically offer an initial discount and a 54 to 56 day interest free period as a sweetener.
Share this..
Related stories
Do budgets really work?
There are two basic types of people in the world, those who budget and ensure that there money will see them through and those who spend when they want to and hope for the best. In the good times both strategies can work but in the bad times the need to budget has never been more vital. Keeping a close eye on what is coming in and what is going out will let you plan ahead and try to avoid any di...
Read MoreWhat Is An Underwriter? (Part Two)
Following on from part one of our article on underwriters, we hereby enclose details of how insurance underwriters operate.
Insurance Underwriter
When you take out any insurance there is always a risk that you will use the insurance to claim for a loss of some kind, whether it is the cost of refurbishing a home after a fire, a car accident, or any other form of financ...
GDP growth prospects cheer UK businesses
Strong prospects for UK economic growth during 2007 has left businesses feeling upbeat, a survey shows.High street bank Lloyds TSB's latest monthly business barometer, published today, shows an increase in the number of firms claiming conditions are set to improve.Sixty-nine per cent said their business activity would rise in the next 12 months, compared t to 62 per cent in February's poll.Sustain...
Read MoreMoscow 'more expensive than London'
Moscow has pipped London to be named as the world's most expensive city for expatriate workers.The annual cost of living survey from Mercer Human Resource Consulting ranks the Russian capital at number one for the second year running.A statement from the firm explained that the high cost of accommodation and the favourable exchange rate against the US dollar had helped Moscow retain its top rankin...
Read MoreIncreasing number of loans used for consolidation
An increasing number of borrowers are taking out personal loans to consolidate their existing debts, according to an expert from Sainsbury's bank.According to statistics from the debt charity, Credit Action, total personal debt in the UK came to £1,355 billion at the end of July 2007 - a 10.1 per cent increase on last year. Steve Baillie, head of loans at Sainsbury's Bank, said that while loans f...
Read More