Banking Code review: Credit Action - Credit card agreement summary box is welcome

Keith Tondeur, national director of Credit Action, welcomed proposals in the Banking Code review to introduce a summary box on credit card agreements. He also welcomed the concept of basic bank accounts for the poorest and most vulnerable in society.

He said: "We have been pushing for a summary box for some time as we find many people struggle to understand even the basic concepts as to how credit works. For the same reason explaining how interest builds up is vital. With some cards allowing people to pay a minimum of just two per cent and estimates that over ten per cent of us only pay this amount each month it is important that we all realise that we should pay as much off each month as we can. Some paying only the minimum amount each month could in fact be paying for several decades."