Christmas spending to top £50bn | Chiltern Debt Management

Christmas spending is set to rise to more than £50bn in December according to the latest figures from APACs which monitors UK spending habits.

Its figures show that overall UK spending on cards, cash and cheques in December will reach £51.6bn, an increase of 6.6 per cent over the same period last year.

The biggest rise in spending will be on debit cards, a 20.1 per cent rise over 2005 to £17bn. Credit card spending is predicted to remain broadly similar at £11.4bn.

Chiltern Debt Management general manager Jackie Newton says: “Plastic is playing an increasingly large role in UK spending but it’s encouraging to see that the amount spent on credit cards does not look set to rise this Christmas.

“”The festive period is always an exciting one and the temptation to spend, spend, spend is incredibly high. But on the flip side of the coin we have just seen an interest rate rise which will see the cost of credit rising and January always sees a huge increase in the number of people contacting us to seek advice about their debts,” continues Ms Newton.

Fees & Information

We cannot guarantee a reduction in interest or charges. If an IVA is not maintained it could lead to bankruptcy. Whilst initial debt advice is free, fees will be charged if a solution is taken out.

Fees related to Debt Management Plans are in two parts;

"Initial Fee" means your first two "Monthly Payments", which is paid by You to "Us". This represents our fee for establishing your arrangement, and therefore is not distributed to your creditors, and can be paid in two separate instalments. Retention of this fee will put you into further arrears.

"Monthly Fee" means the Fee payable for our Services each month. This is an amount equal to 17.5% of your "Monthly Payment" (apart from your first two "Monthly Payments" which is the "Initial Fee"), subject to a minimum payment of £30 for disposable incomes of 0 - £100, and £35 for disposable incomes of £100.01 - £200.

Fees incurred for Individual Voluntary Arrangements are variable dependent upon the monthly contribution to the arrangement and the agreement that is reached with your creditors. Fees are made up of Nominees fees relating to assistance given to prepare your proposal and Supervisor fees which relate to the ongoing monitoring of your IVA. Fees are already included as part of your monthly contribution. The level of fees and the method of payment are both agreed by your creditors at the outset of the arrangement.

A record of your agreement with us will be held on your credit file for up to six years, and your ability to obtain credit in future may be affected.

You are provided a cooling off period of fourteen days from the date the agreement was deemed to commence, during which you may cancel our agreement. Should you give notice to us that you would like a refund of a payment, or payments, (being other than the initial fee) then where no distributions have, at that time, been made by us, or are in the process or course of being made by us, in respect of that payment or payments this will be made in full (i.e. without deduction of our fee of 17.5%).