For all those facing financial ruin, Argos has the answer.
http://www.guardian.co.uk/money/2008...t-credit-cards
Low-income borrowers were today warned against signing up for an Argos payment card, which has an interest rate of up to 222.7%.
The Easy Shop Card, which the retailer has launched in partnership with sub-prime lender Provident Personal Credit, is aimed at cash-strapped shoppers who want to borrow between £100 and £500 to spend in the store.
The lender's website says applying for the card is "simple and straightforward" with "no complicated forms", and that borrowers can make "affordable, fixed, regular repayments - collected by a local agent".
Local thug.
However, the interest rates on offer are significantly higher than those available on standard credit cards, where APRs tend to be below 30%.
On a £300 loan repaid over a year the website quotes a typical APR of 183.2%, while shorter-term borrowing attracts even higher rates.
A consumer borrowing £100 on the card would be charged £35 in interest if they repaid it at a rate of £5 a week over 27 weeks, giving an APR of 222.7%.
http://www.guardian.co.uk/money/2008...t-credit-cards
Low-income borrowers were today warned against signing up for an Argos payment card, which has an interest rate of up to 222.7%.
The Easy Shop Card, which the retailer has launched in partnership with sub-prime lender Provident Personal Credit, is aimed at cash-strapped shoppers who want to borrow between £100 and £500 to spend in the store.
The lender's website says applying for the card is "simple and straightforward" with "no complicated forms", and that borrowers can make "affordable, fixed, regular repayments - collected by a local agent".
Local thug.
However, the interest rates on offer are significantly higher than those available on standard credit cards, where APRs tend to be below 30%.
On a £300 loan repaid over a year the website quotes a typical APR of 183.2%, while shorter-term borrowing attracts even higher rates.
A consumer borrowing £100 on the card would be charged £35 in interest if they repaid it at a rate of £5 a week over 27 weeks, giving an APR of 222.7%.
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