Increase in level of credit card complaints

A recent report has shown that there has been in increase in the level of credit card complaints being made. Over the past year there has been a record number of complaints made to the Financial Ombudsman Service in relation to credit cards according to the report. The FOS has described the past year as the most uneasy one since it was set up.

Many of the complaints related to penalty fees and default charges that were applied to consumers’ accounts for late or missed repayments. However, consumers have had real cause for complaint when it comes to credit cards over the course of this year. Many consumers have found themselves the victims of sneaky tactics used by credit cards over recent months.

Some credit card customers have found that there interest rate or fees have been hiked up for no reason, others have found that their credit limits have been cut without notification, and some have even had their credit card facilities withdrawn despite having no record of missed repayments.

An FOS official said: “By the end of the 2007-08 financial year we had received more new complaints than in any year since the Ombudsman service was established.”