Reality day hits very hard when they have to make the decision - what do we keep and what do we send back. One offer advertised an interest-free purchase of a lounge suite. When the consumer could not pay it off in one year she had to pay the previous year's interest as well as the on-going finance charges. Advisers believe credit cards are too easily available. Once again, the main concern is that people who cannot afford to borrow are able to obtain loans.
Credit cards are too easy to obtain.
A large number of clients have 2 or 3 credit cards which, in my opinion, should not have been issued. Over-lending Advisers believe that some lenders advance so much the consumer cannot hope to repay the loan and will inevitably default. This happens even when the borrower may already be in financial difficulty. The consumer always struggled to meet repayments. He eventually lost his job because of illness and the insurance company refused to meet the repayments.