Those credit crazy Brits

The British obsession with credit cards is on the increase. Indeed, our reliance on credit now means that we spend an average of 15% of our annual salary on credit card purchases, which adds up to a mammoth £150,000 across a typical working lifespan. That's according to card and ID protection specialist CPP. By its reckoning, average plastic spend is £3,540 a year, despite the average wage being just £23,244.

According to CPP, 25% of people are the proud owners of gold cards, with 12% signing up solely for the effect it has on the aesthetics of their wallet and 14% admitting they believe a wallet full of cards looks impressive.

On the flipside, we are starting to wise up and become savvy to the deals on offer. As a result 40% of people will swap cards around to maintain zero interest on their borrowings. The average deal chaser will change their cards every nine months, and own a total of 59 cards during their working life.

Most of us try to keep within our budgets. And women, who still take home lower wages than men - earning an average of just £20,124 a year compared to £25,324 - own fewer credit cards than their husbands. Those living in the North East also tend to rely less on credit than their cousins in London, where wages are around £9,000 higher.

Meanwhile, around 13% of Brits say they've been the victim of credit card theft and a whopping 80% are very aware of the dangers of credit card fraud and identity theft.

Moneyextra.com recommends you take independent financial advice before acting on any article

2007-05-24 10:40:33 © Moneyextra.com