Card users 'stung through ignorance'

Credit card users could be paying effective rates of more than 20 per cent because they don't understand how interest is applied, consumer advocates have warned.

A high level of consumer ignorance about credit card charges and rates has been revealed in a new survey by banking giant Citibank.

Almost half of all respondents (48 per cent) were unsure of the interest rate they were paying on their credit card.

And about one-third (31 per cent) were unsure how many interest free days they were entitled to after making a purchase.

Read more at: Card users 'stung through ignorance'