Credit Card Debt Falls
British Bankers' Association says credit debt fell for the first time in nearly 11 years last month
20th May 2005
The UK's total credit card debt fell slightly last month, with cardholders paying off £40m more than they spent. It's the first time since May 1994 that total card debt has fallen.
The news comes as further evidence to some of a slowdown in the economy, coming as it does against a backdrop of sluggish high street spending.
However, as personal loan and overdraft debt rose by £415m during the same month, it's possible that the fall could be an effect of debt consolidation as people redistribute their debt to cheaper deals.
The British Bankers' Association, who released the figures, in any case warned that the drop could be temporary and that renewed spending in April would not show up in the figures until May.
Read More: BBC Report
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