SmartDebit comment on reports that credit card firms are targeting the unemployed

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SmartDebit

Direct Debit is offered by the majority of credit card firms to help individuals effectively manage their payments. We urge card holders to utilise this payment method to help prevent the accumalation of unwanted debt.

(PRWEB UK) 9 September 2012

Some credit card firms have been accused of targeting people who are unemployed, on low income and even those who have bad credit history. The accusation made by price comparison site confused.com has led to fears of future debt problems amongst the most vulnerable people. There are currently 2.56 million unemployed people in the UK according to the Office for National Statistics, all of whom could benefit from 1 of the 23 credit card firms who accept jobless applicants.

According to Credit Action, the average credit card debt current stands at £2,089 and the average annual income required to successfully apply for a credit card is just £9,035. The research also shows that representative interest rates have gone up from an average of 18.5 per cent APR in 2011 to 20.5 per cent APR today.

SmartDebit have over 14 years’ experience in the payments industry, specialising in direct debits, card processing, cheque clearing and postal orders. A spokesman from SmartDebit commented on the issue “It would be quite worrying if credit card firms were issuing credit to unemployed people, as there is a high possibility they will not be able to meet their repayments. Direct Debit is offered by the majority of credit card firms to help individuals effectively manage their payments. We urge card holders to utilise this payment method to help prevent the accumulation of unwanted debt”.

SmartDebit™ are the UK’s leading Direct Debit Bureau, specialising in payment processing services since 1998. A Bacs approved Bureau, scoring ‘Excellent’ in all five categories of the Bacs audit, and ISO 27001 compliant. Providing a complete range of services: Outsourcing; SmartDebit-Admin cloud based portal; SmartDebit-Online payer sign up; SmartDebit-API integrated solution and SmartDebit-Contingency.

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