Credit Card Charges Set to Fall

In the UK the 8 largest credit card providers have been ordered to reduce their charges, for default and late payment, by between 40 and 50%. The current late payment charge by most major issuers is between £20 - £25 ($30 - $40 US) and the have been instructed to slash that down to £12 -£15 UKP ($18 - $20 US).



The UK Office of Fair trading, who have been investigating credit card charges for the last few months, stated "The OFT considers that, in a consumer contract, a default charge is likely to be disproportionately high if it is more than a genuine pre-estimate of the damages that the card issuer would win in court if it sued the cardholder for breach of contract," adding "The OFT's provisional view is that the le View the rest of this article