Accounts closed as people don`t repay credit card debts

23 November 2009

Research by Confused.com has found that in the UK, 1 in 5 of the accounts which were closed by the provider were closed because consumers didn`t keep up with payments to their credit card debts.

Residents of Yorkshire were found to be the `most likely to struggle` when it comes to repaying their credit card debts, with 35% of accounts closed by the provider closed because the user hadn`t kept up with payments.

The North East and East Anglia fared much better, with just 8% of accounts closed by the provider being closed because of non-payment of credit card debts.

Joanne Garcia, head of credit cards at Confused.com, said: "Credit card users in all regions need to understand how damaging it can be to miss repayments. While it may not seem like a big deal to miss a few payments here and there, credit providers - which include mortgage lenders - leave no stone unturned when it comes to checking a person`s credit worthiness. If they see a history of non-payments it makes it much more difficult to borrow money."

A debt expert for Think Money added: "We would advise anyone struggling to repay their debts to contact a professional debt adviser without delay."

Tags: debt, credit card

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