It has been revealed that almost 30 per cent of consumers plan to use their credit cards in order to buy presents and assorted festive items this Christmas.
According to new research by F&C Asset Management, 14.31 per cent of shoppers say they will fund their spending via credit cards, which they intend to pay off during the following month.
But 13.62 per cent admit that they will take longer than a month to repay debts incurred on credit over Christmas.
In addition, 3.03 per cent of those surveyed said they will need to take a loan out in order to cover costs, with 35.57 per cent estimating they spend of £500 to £1,000 over the festive period.
But the survey also investigated how Christmas is seen by consumers and Jason Hollands, head of communications at F&C Investments, underlined the differences found by the research.
“While 37 per cent of respondents regard Christmas as ‘all about giving to others’ and a further 31 per cent look forward to it as a ‘time to get presents, eat and drink too much’, for a significant proportion of families the festive season represents financial hardship,” he said.
In related research from CallCredit, it was found that although many plan to spend more this Christmas, they also intend to budget their spending to avoid longer-term debts.
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