We Britons love credit cards.
According to Apacs, the trade body representing card issuers, by the end of 2004 there were more than 60m cards in circulation in the UK and consumers have more than 1,500 to choose from, writes Guardian Unlimited Money editor Hilary Osborne.
But all cards are not equal.
While some providers charge fees on balance transfers, others offer them free of charge; while some charge 0% interest on purchases, others charge up to 18%.
So a new website promising to help consumers "get to grip with the choices" they face sounds like a great idea. Yet Apacs' choosingandusing.com only serves to highlight the complexities of the credit card market, adding to the confusion along the way.
Visitors are told: "Different card companies use your payments to pay off the different parts of your balance (such as fees, the previous month's balance, new purchases or balance transfers) in different ways - so think about the order and the interest rates that apply."
Confused? Wait until you try to put that advice into practice. Wouldn't it be easier to introduce a set of rules on how interest is applied and calculated? It wouldn't put us off our plastic and at least we might stand some chance of getting the best deal.
