Low income consumers are typically paying £174 a year on extra credit costs from high street lenders by building up charges as they juggle their finances, a report warns today.
Consumers can now get permanently free access to their credit report, which can tell them if they're likely to be accepted for a credit card, loan or mortgage.
Labour MP Stella Creasy has stepped up her calls for a cap on the cost of short-term, high interest loans, as new figures reveal 3.5 million Britons expect to need a payday loan in the next six months.
Borrowers who need cheap credit have been urged to consider snapping it up now in case costs soar and the chances of getting a credit card, loan or mortgage diminish.