An article regarding how Australian consumers are getting trapped by credit card debt.
We always pay our cards in full every month but unfortunately, a great many others do not,
I paid my CBA MasterCard last week.It was just under $2,370 and the advice on the statement was that if only the minimum payment of $47.00 was made, it would take some 36 years & 11 months to pay off and incur interest charges of $11,696.38 but if $122.12 was paid, it would take only 2 years to pay off, incurring interest charges of $559.79 and saving $11,136.59.
After the Banking RC, surely the government could at least legislate that the minimum payment must be a realistic amount.
If consumers cannot pay a realistic minimum amount, they would obviously be much better off without these debt traps.