Credit card users 'benefit from low interest rates'

Brits who are turning to the use of a credit card as a financial solution may find now is a good time to do so.

This is because of the base rate of interest being held at a current record low of 0.5 per cent by the Bank of England.

Communications manager at the Council of Mortgage Lenders Bernard Clarke argued that borrowers and lenders will both benefit from this state of affairs.

"The likelihood [is] that interest rates will remain at low levels for the foreseeable future," the expert remarked, adding the prospect of an increase is not an immediate concern either.

"Any rise is likely to be modest and that the increases are likely to be relatively slow," Mr Clarke explained.

Uptake of credit cards may increase as a result of this trend, as recent research from the Post Office indicated over 12 million Brits will be making use of this option throughout 2012.

Posted by Gemma Walker