UK credit card holders will spend an estimated £10bn this Christmas, with the average big spender likely to chalk up credit card debts of £579.
Research undertaken by the Virgin One account also shows the Scots to be top of the league of credit card spenders, averaging £730 on Christmas credit card spending. London's City types blow an average of £720, while East Anglians are the least likely to splurge, spending only £330.
One sobering thought for credit card spenders is that the collective interest from this Christmas' spending will have soared to £658m in six months, based on an average APR of 14.9%.
Virgin One account's James Duffell says by using a current account mortgage with lower annual interest charges than regular credit card lenders, spenders can avoid huge interest payments.
“The festive season creates terrible pressures to spend money that people may not have, particularly if they have a young family. Many would rather go into the red than see their loved ones go without on Christmas morning.”
“Nearly 90% of One account customers are ahead on their mortgage repayment plan so they have a little extra in the bank and can afford to splash out at Christmas. Our customers know that by using their current account mortgage they have access to cash quickly, at low cost and with flexibility over when they can pay it back.”