Customers 'more confident' about credit card spending
Article by Mozo
Aussies spent a record $22 billion on credit and charge cards in December last year while card repayments also rose during the month.
Reserve Bank figures show that the total value of credit and charge card transactions rose by ten per cent in December, the Australian Associated Press reported.
CommSec economist Savanth Sebastian suggested that the high spending proved that Australian consumers were feeling more confident about using their credit cards.
In addition, the Reserve Bank figures showed that fewer consumers are now spending beyond their means as repayments on credit cards rose by 10.25 per cent in December to $21.5 billion.
"The average outstanding debt on credit cards is growing at the fastest pace in three years, but consumers are more likely to pay off their credit card without incurring interest charges," added Mr Sebastian.
This week, Christine Christian, chief executive of the credit bureau firm Dun and Bradstreet, said that many people are unaware of how their credit report works and have little idea about how to get a copy, even though it is legally available to everyone.
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