Co-op Bank comments on student credit cards

19 September 2006

The Co-operative Bank has commented on the need for students to take-up credit cards following research by Apacs showing 24% of under-24s now possess a credit card.

Andy Hammerton, Co-operative Bank's spokesman, said that for many students using a credit card to borrow money could be a suitable way to do so at times.

He said: "Credit cards allow people to manage their finances in such a way that if their individual circumstances match they can be beneficial."

Mr Hammerton added that credit could prove an especially effective way for students to manage their finances on a month to month basis.

"For instance, if the student was looking to borrow a few hundred pounds and knew that the money would be available to pay back at the end of the month then this is a very flexible way of managing a debt.

"With a personal loan the borrower is committed to paying a fixed sum each month - with a credit card there is more variation," he concluded.

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