Aussie credit behaviour 'undergoing change'

A change of approach has been noted in regards to the way Aussies use plastic cards, an industry expert claims.

Speaking at the American Chamber of Commerce in Australia, Eddie Grober - executive vice-president of MasterCard Australia - states that while people are increasingly using debit cards, a fall in credit card usage has also been recorded.

"There is a slowdown in credit card usage but we've also witnessed an increase in usage of our debit card products," he points out.

However, it appears that credit cards may still have a significant role in day-to-day life, as Mr Grober claims that the country will - in time - become a cashless society, with all payments being processed by card.

Such comments could interest those on the search for a credit card offering an interest free period on purchases.

In other Australian banking news, he points out that both charities and airlines are making increased use of prepaid cards in their day-to-day business management.

Recent research from Veda Advantage revealed the rate of applications for credit cards and personal loans fell 13 per cent between January and March from the same period in 2008.