Demand for credit cards increases

Demand for consumer credit, for example credit cards and personal loans, rose by 0.4 per cent in the first quarter of 2011 compared to the same period the year before.

Figures from credit information provider Veda Advantage revealed that while mortgage applications declined, a growing number of Aussies are looking for new plastic and personal loans, reports the Australian Associated Press.

Certain areas experienced a noticeably stronger demand for personal loans, such as New South Wales, Victoria and Western Australia.

In these areas, applications rose by up to five per cent compared to the year before.

Quarter-on-quarter, there was a rise in demand for credit cards with the number of people requesting plastic increasing by one per cent.

Those in the market for a new card may find that going online to compare credit cards helps them find the best deal.

Last month, YourMortgage observed that taking advantage of promotional balance transfer rates could help those with plastic to minimise the expenses involved in having a card.

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