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Over the last couple decades, credit cards have gone from a product that only a few worthy individuals could use to a product that anyone could use and abuse.  Credit card debt for the nation as a whole has more than tripled since 1989 and the amount of credit card debt held by individuals across the nation continues to rise at an alarming rate.  Experts believe that this trend will be difficult to stop and have identified five other trends that are occurring in the credit card market that could end up costing consumers a great deal of money in the long run.

Trend 1 – More Traps For Credit Card Users To Raise Interest Rates
Credit card companies are not going to stop offering their low introductory interest rate offers because that is one of the best ways to draw in new customers and get them to use their new credit cards.  Instead, expect that these companies will find more ways to get your interest rate for the credit card to rise, effectively negating the low introductory rate and bringing the individual into line with other individuals that have similar credit scores.

Trend 2 – More Expensive Fees
In today’s debt ridden society, many banks and creditors have found that levying fees against an account can be a very profitable business.  Over the last ten years, fees for everything from going over the credit limit to paying the bill late has more than tripled and more fees have been added to the credit cards for basic services such as opening the account or transferring a balance.  Experts predict that, in the future, creditors will find more ways to add fees to their products and the fees will continue to rise in cost.

Trend 3 – Climbing Interest Rates
The interest rate that is charged to individuals for keeping a balance on their credit card has steadily risen over the past few years and there seems to be no end in sight.  Before, only the individuals with low credit scores or shaky credit histories were hit with the higher interest rates, but now even individuals with excellent credit scores are paying more than 10% interest on their credit card purchases.  Some credit card companies have even started to charge all of their customers the same high interest rates, regardless of their credit score.

Trend 4 – Great Deals That Aren’t Really So Great
Credit card companies keep coming up with these great deals for consumers that are not so great when the consumer actually uses the card.  Many offers for high cash back percentages often have a cap on the amount that will qualify for the high percentage in the small print of the offer, often $1,000 or less, to prevent people with high credit limits from taking full advantage of the offer.  It is important to read the fine print for any credit card offer to ensure that you know exactly what you are getting and to avoid any unpleasant surprises in the future.

Trend 5 – Credit Card Security Will Continue To Be An Issue
As identity thieves become more and more sophisticated, credit card issuers are having trouble keeping up.  This is because of numerous factors such as new transaction methods with holes in their security features that can be exploited, merchants not securing the credit card information that they have stored in their computer banks, and individuals using their credit cards on the internet with websites that are not secured.  As fast as a credit card company finds a security loophole and closes it, hackers and identity thieves find and exploit another.  It is important to check account statements and credit reports on a regular basis to ensure that you have not become a victim of identity theft.

If security is a concern for you regarding your credit cards, you have to check your credit report at least once a year and preferably every 6 months to adequately monitor your credit score. Especially if you’re in the market for a new airline miles rewards card or an attractive balance transfer credit card, make sure that you are proactive in monitoring your credit score so you won’t have a problem qualifying for the credit card that you truly want or need.