Wednesday, September 10, 2008

Credit card write offs rise again

In the third quarter of this year, UK banks wrote off ₤875 million worth of credit card debt. During the last five and a half years, about ₤13 billion had to be written off.

Household debt distress has been around for quite a while, yet the Banks kept on lending. The profits from those who paid their credit card debts outweighted the losses from those who didn't.


  1. No bigger; so long as the banks are giving more credit than they are writing off, I don't see a problem. This can go on forever.

  2. The banks only have themselves to blame for their unrelenting pursuit to pull everyone into the blackhole of credit card debt. Now that the credit crunch is here, they are closing their doors to people they once embraced with open arms. The question is - Have they learnt their lesson?"..I very much doubt it. Once this storm is over they will be back to their usual tricks of trying to lure people who can't afford credit cards back into the trap.

  3. If you think that there is no way you can pay off your credit card debt, hold on!You can pay off a total ammount of debt or just a part of it, anyway you are getting a good deal! As soon as your debt is paid off, you may want to put your credit card in some safe place and not use it for a while, because if you are not responsible enough, you will get a new debt and will still have to pay off your loan!Good Luck!

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