Credit card reforms 'are a step in the right direction'

By Mozo ·

Impending changes to credit card laws are a definite step in the right direction, but struggling Aussies still need to be careful.

This is the view of Debt Rescue operations manager Rachael Witton, who told the Herald Sun that new legislation will provide some much needed relief to card holders.

As of July 1st, lenders will be unable to push unsolicited credit increases and will also be banned from issuing certain charges.

However, Ms Witton insisted that the onus is still on people to take responsibility for their own finances. This is particularly sound advice, as recent government figures showed the nation has racked up a total credit card debt in the region of $36 billion.

"What the legislation won't protect against is the quantity of cards held by each customer," she remarked.

Ms Witton added that people need to show restraint when spending money they don't technically have, as it is easy to spiral into debt.

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