Credit card funding payday stop gap
The average 'credit card crunch day' – when people resort to using their credit cards to tide them over until they receive their next pay cheque - is 21 days after being paid. According to research from moneysupermarket.com some 11 million people resort to credit cards as something to fall back on when the funds aren't there.
And for one in ten people, the plastic comes out just 15 days after being paid – meaning that they have to live off their credit card for a full two weeks.
Kevin Mountford, head of banking at moneysupermarket.com, said: 'With most of the population feeling the pinch at the moment, it's no surprise to see so many people reliant on credit so early in the month. However, unless you plan this properly and know you're able to pay off your balance, this can be a dangerous trap to fall into.'