Consumers that are good with money should not suffer effects of credit crunch

According to an industry professional credit card users that are good with their money, spend sensibly on their cards, and make timely and responsible repayments will not necessarily suffer the effects of the global credit crunch. Samantha Owens, a personal finance specialist, was referring to students when she said recently that those that were sensible and good with their money did not necessarily have to worry about being affected by the global credit crunch that has hit so many credit card users over the past six months.

Many credit card users have found that their credit limits have been cut, their interest rates hikes, and in some cases their credit card facilities withdrawn altogether. Many have also found it hard to get a credit card or to switch to a different credit card because credit card providers have really tightened up on their loan lending criteria, and around eighteen thousand applications a week are now being turned down according to a recent report.

Samantha Owens said that in cases where cardholders are good with their credit card and other spending, and are responsible when it comes to repayments, there is little need to worry. She also said: “Credit cards offer a lot of protection with making purchases, so if you’re the kind of person who’s been managing their money perfectly well up until now then there’s no reason why you shouldn’t continue.”

She did add that those who are bad with their money and repayments would continue to suffer the same sorts of difficulties as they did before the onset of the global credit crunch, including expensive borrowing and reduced access to credit.