Lucia Webster, head of membership services at the Association of British Credit Unions (Abcul), said credit unions aim to encourage people to consider their borrowing habits, suggesting that credit cards are not always helpful.

“Everyone should be aware that there is no such thing as free credit and that if they borrow on a credit card, they should do so only at a level they can afford,” she said.

According to Credit Action, the UK’s personal debt stood at £1,363 billion at the end of August, with the average household debt – excluding mortgages – in the UK reaching £8,873.

Based on its findings, the charity estimated that the country’s combined personal debt increases by £1 million every four minutes.

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