Friday 26th October 2007
Consumers looking to treat themselves over Halloween could find themselves facing more of a trick, it has been warned.
Figures from Nationwide reveal that a number of major high street brands charge almost 30 per cent interest on their store cards.
Burton, Dorothy Perkins and Miss Selfridge are named as being among the worst offenders with annual percentage rates of 29 per cent each.
This compares with a headline rate of 15.9 per cent offered by Nationwide - meaning store cards are nearly twice as costly.
Consumers are urged to resist becoming "bewitched" by offers such as ten per cent off the purchase made when the store card is first obtained.
"Borrowers who are unable to clear their balances each month could find that they are paying over the odds," warns divisional director Jeremy Wood.
Industry watchdog Which? recently warned that for most shoppers, store cards are only a sensible option if they intend to pay off the balance in full each month.
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