Rate rise prompts consumers to find cheaper credit

Consumer confidence is proving resilient and there is evidence that more people are shopping around for the best deal on credit cards.

Consumer confidence is proving resilient and there is evidence that more people are shopping around for the best deal on credit cards.

The latest Westpac-Melbourne institute survey of consumer confidence shows a lift of 1.8 per cent this month after a 4.5 per cent fall immediately following the November rate rise. The latest personal finance figures indicate that consumers are adjusting to higher rate by shopping around for lower rate credit cards. New and increased limits were up by 39 per cent to $2.6 billion which was offset by a 47 per cent increase in the level of cancelled credit to $2.2 billion.