Local MP Warns Students "May Be Mortgaging Their Future"

10.10.03

Credit Agencies Must Stop Tempting Students Into Unsustainable Debt

Local Liberal Democrat MP Edward Davey has backed a new seven point plan by the Liberal Democrats to deal with the student debt crisis.

In support of the National Consumer Council campaign to warn students of credit card 'gimmicks', the Liberal Democrats have launched the plan that sets out the steps that need to be taken in order to curb the excesses of consumer credit that are contributing to the imbalances in the UK economy.

Kingston and Surbiton has a large student population from both Kingston University and Kingston College Many students today live on borrowed funds which may be storing up trouble for the future. They are targeted by credit card companies and agencies in a drive to sign more and more people up to open various types of credit cards and accounts. In the case of students the initial offers can seem very seductive, but may put them in a situation of spiraling debt.

Edward Davey commented:

"Students, particularly in expensive areas such as Kingston, are especially vulnerable to debt. With loans and overdrafts, the last thing they need is a love-affair with credit cards. Students may find they have mortgaged their future on top of Labours tuition fees students may find."

"Having a free economy must mean that there is a fair, proper market for credit. But aggressive promotion of credit aimed at vulnerable consumers is both immoral and dangerous.

"Unaffordable debt can be unforgiving. Students must understand the stark reality of over-committing."

"I would urge any students in Kingston who are anxious about their debts to either visit me at one of my advice sessions or visit the Citizens Advice Bureau."