In the past, credit cards were used for frequent flyers or emergency spenders. Now, the everyday Aussie is using it for survival.
Finder.com found that 15 per cent of Aussies have signed up for a credit card in the last twelve months alone. And guess how much we have spent using this paperless currency? $34.7 billion as of September 2023. That’s a heck of a lot of debt, and unsurprisingly, an all-time high.
“Credit cards have become a financial crutch for a lot of people who would have previously only used one for emergencies,” said Finder’s Amy Bradney-George to 9 News.
So what does this mean for your life – especially if you are struggling financially right now (Who isn’t?).
Finder.com surveyed 1063 Aussies to get these alarming stats, and they say it translates to roughly three million of us signing up for a credit cards this year alone. Of those, six per cent relied on their credit card to live day-to-day.
That means a lot of us are using credit cards to put food on the table. Or, that we are considering it, especially as interest rates keep going up. With a financial plan in place, credit cards can work – but they come with a catch. And the fact five percent of Aussies are looking to pay off credit card debt WITH a new credit card shows us that this can snowball out of control.
Look, it’s not all bad news.
One of the reasons credit card use has gone up is due to the opening of international borders, and people are going on long-overdue holidays. But the best course of action, if you haven’t already gone down the path, is to steer clear of credit card debt. It is always your last resort.
And that’s where Fidget comes in. Because instead of signing up for a credit card, and inevitable debt that will follow you for years, we can assess your home loan and help you save on your expenses. Sure, things will be tight for some time – but by finding the best loan option for you among our 45 lenders, we can ease the burden.
And if you do you have a credit card – it’s not too late! Give us a call, and let’s see how we can help you find financial stability long term, so this debt is paid off quickly and you can breathe out.