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Debit cards most popular for plastic spending

01/07/2008

Plastic card spending continues to rise, with debit cards dominating the market, according to the UK payments association Apacs.

A new report from the group – The Way we Pay 2008: UK Plastic Cards – reveals a ten per cent rise on plastic card spending in twelve months, from £321 billion in 2006 to £354 billion last year. This is a three-fold increase in the past decade.

For the seventh consecutive year debit cards are shoppers` most popular plastic choice, comprising 62 per cent of total plastic card spending in 2007. This is a 13 per cent increase since 2006.

Director of communications at Apacs, Sandra Quinn, said the expected "sudden spike" in the use of credit cards did not emerge in the figures and the value of credit card spending in supermarkets has dropped.

People who may be trying to avoid credit card debt are recommended to look at services they provide.

"We would … continue to remind customers that because of the additional consumer protection benefits credit cards provide, you may find a credit card to be a more sensible choice online," said Ms Quinn.

Last week, independent finance information site Moneyfacts.co.uk recommended using credit cards "wisely" to save on credit card debt.

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