4 million people in the UK have a subprime credit card
Red Card, our latest report, examines the relationship between subprime credit cards and problem debt. Subprime cards are high interest credit cards, usually targeted at people with a low income, who are unemployed or have a thin or impaired credit file.
One in three people in severe problem debt have a subprime card, which often have high interest rates (APR) of 30% or more. In a survey of our clients with subprime credit cards, 18% were unemployed when they took the card out.