Invitation to waste credit card funds

[img_assist|nid=7507|title=|desc=|link=none|align=left|width=100|height=75]Customers of Barclaycard were encouraged to dispose their credit cards and withdraw cash from ATMs for "a cup of coffee or your daily paper". The company sent a letter to thousands of customers. The initiative was taken in the awareness of the fact that such kind of operations will result in high charges for card holders.

The Daily Mail newspaper released a report where debt campaigners criticised Barclaycard for pushing its consumers to financially adverse transactions.

According to the official information credit card holders in the United Kingdom are still meeting challenges of overrated fees and charges within past two years.

According to one more report fees increase had a detrimental impact on the budget of many families.

The average purchase rate on a credit card has jumped from 14.9% in April 2006 to the latest figure of 16.4%.

Minimum amount to be withdrawn from Barclaycard accounts for £2.50 while withdrawal attracts a 2.5% with interest also charged on withdrawals at a rate of 27.9%.

"Barclaycard is a responsible lender and has not sought to persuade people to make additional cash withdrawals." State the officials of Barclaycard.