Barclaycard has launched a new text-based service that will remind cardholders to pay their bills five working days before payment is due.
“We want to make our products easier to understand and these are simple things that will help customers avoid paying unnecessary fees on their account,” explained Keith Coulter, managing director of UK cards and loans at Barclaycard.
Customers who miss a payment date are automatically fined £20 by Barclaycard.
Other finance providers such as Smile and first direct already offer text alerts on current accounts and Egg customers can choose to have text alerts telling them how much cash they have.
Brokers London and Country even provide their customers with a service that lets them know when it is time to review their mortgage deal.
Barclaycard has also launched other features designed to encourage people to pay off credit early, such as adding details of benefits to borrowers who only pay the minimum.
Customers who regularly pay late will also be given the option of switching their payment date to one which suits them.
The move to help borrowers compare credit cards spending habits follows much criticism of its lending habits.
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