Latest News

Credit card holders to get a different kind of statement hitting their doormats

March 2012

The nation’s 31 million credit cardholders can expect to start seeing a new type of credit card statement land on their doormat for the first time. The new annual statement, which has been developed by The UK Cards Association in partnership with the Department for Business, Innovation and Skills, will help customers see at a glance how they have used their credit card over the previous 12 months, as well as any fees and costs incurred.

Some credit card companies have already started sending out the new statements - card customers will most likely receive their first annual statement on the anniversary of when the account was opened.

Melanie Johnson, Chair of The UK Cards Association says:
“Annual credit card statements will help empower customers by giving a clear view of how they’ve each managed their plastic over the past year. By clearly setting out costs and charges this industry initiative could help customers get a better deal either by being more savvy about how they use their current card, or by changing to another account that’s a better fit.”

To help customers compare cards, all the new annual statements contain the same information. They all specify the time period covered and include total spending, the amount repaid and any interest fees and charges incurred. The statement also shows exactly how the card has been used during the year - broken down by point-of-sale spending, cash advances, balance transfers, and the applicable interest fees and charges for each of these types of transaction. Information will also be provided on charges for foreign transactions.

The new annual credit card statement comes a year after the credit card industry introduced a wide range of benefits1 to give cardholders more control over their accounts. It complements the facility offered by most credit cards (over 85% of cards in issue) for the cardholder to download transaction information. The industry will review the effectiveness of annual statements with consumers and their impact on behaviour over the next year.

To see the full press release, please click the link below.

Glossary View Items Highlight Unhighlight
You are here:  Home / News  / Latest news / News 2012 /  Credit card holders to get...
 
 
 
 
RSS
 
 
Loading...
Close Glossary

Glossary of words on this page