Over recent years the debt mountain in the UK has been growing, and many people have found themselves in huge levels of debt, much of which has been attributed to credit card expenditure. According to a new report, the 18 - 20 age group is beginning to see increased debt levels because of credit card spending. Many just repay the minimum amount each month which could lead to a lifetime of debt as they end up paying off the card for many years to come.

Many young adults apply for a credit card as soon as they reach 18. This is often their first taste of financial freedom resulting in spending sprees. There are some who are sensible with their use of a credit card and subsequent repayments but latest figures suggest that consumers in this age group are experiencing debt problems with many losing control of their spending quite quickly.

Officials are now calling for the minimum age for credit card applications to be raised to 21 which will give the consumer more time to get used to managing their finances. Hopefully by then they will be aware of the pitfalls of debt and how it can affect their lives on a long term basis and then be more responsible with credit card spending.

However, it seems unlikely that the credit card companies will raise the age limit as they continue to make up for lost revenue on penalty charges after the Office of Fair Trading decided that credit card providers should limit the default charges levied on customers who are late with their minimum payment, exceed credit limits or make repayments by payment methods which are not honoured.

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Article referenced from http://www.cardguide.co.uk/news/200709/should_minimum_credit_card_age_be_raised.html