Are You Dependent On Plastic?

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London : Call it a matter of status or a part of booming economy, but it is a fact that people are relying more and more on plastic money.

According to a recent research, consumers' dependency on credit cards for their daily purchases is increasing overtime.

In a study the Post Office and YouGov of Britain found that millions of consumers' bills go unpaid and four out of 10 people are relying on credit, the Daily Telegraph reported today.

Twenty-five per cent cardholders said this new year they are more dependent on credit than they were last year, while 41 per cent said they would be relying on the card even to meet daily costs of groceries.

Director of lending at the Post Office, Gary Fitton said, ''Many people have over-stretched themselves over the Christmas period and have little choice but to use their credit card in the New Year.'' Besides the study, financial website MoneyExpert.com has warned against the ongoing trend, saying consumers' finances are likely to come under increasing strain due to rising energy prices. People may find it difficult to get credit.

However, 50 per cent of cardholders said they planned to use their card to buy something in the month's sales and 28 per cent said they would use it for big purchases.