Hard on the heels of the increase in bread, milkfood and gas prices, comes another blow to the people: a rise in credit card interest rates.
The current annual interest rate of 24 per cent is being increased to 28 per cent.
Banks are informing customers about the increase with some of them saying the new rates will be applicable from May 15.
Last year the active cards base grew by near 11 per cent or 84,000 cardholders – the highest growth rate in three years -- to reach 862,340.
However, the outstanding balance from credit card holders also increased to an all-time high of Rs. 38.5 billion.
A private bank manager said there had been a steady increase in the applications for credit cards in the recent months. ‘My branch which is located in an outstation receives 10 applications a day, as against two or three we received last year,” he said.
He also said the number of people appealing to reactivate the cards after they were blocked due to non payment had also increased. |
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