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Despite Central Bank Cuts, UK Credit Card Rates Hit Highest Levels In 13 Years
Per the report, the average annual percentage rate (APR) reached 24.7% in September - the highest since financial website Moneyfacts.co.uk began recording data. The average APR was 23.4% this time last year.
"Consumers who turn to credit cards for their everyday purchases will find that the cost to borrow is starting to rise, as the most lucrative low rate cards have worsened," said moneyfacts' Rachel Springall.
"In fact, over the past quarter, we said goodbye to the lowest rate purchase credit card on the market and have seen rates increase on these lucrative offers."
This decoupling of soaring credit card rates from flat-to-falling wholesale money rates echoes that of the US where credit card rates have exploded higher in recent months...