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100,000 dump credit cards

CREDIT card customers are cutting up their plastic money in an attempt to curb spending.

At least 100,000 credit card accounts have been shut down within the past year and consumers are paying off their debt at record levels. As much as €191m was paid off within the last year alone, according to Central Bank figures.

The figures reveal that there are now two million personal credit cards in circulation, which has dropped down 102,000 in a year.

About 80pc of credit card customers owe money on their account and nearly 100,000 people are three months or more in arrears on their payments on unsecured debts such as credit cards.

But there are also difficulties for customers wishing to get a credit card as six out of 10 credit card applications are now being refused and some existing cardholders are having spending limits reduced.