A quarter of us had our credit or debit cards declined one or more times in 2013

One in 10 people had their credit or debit card declined more than once during 2013 because they ran out of money, new research has found.

According to a study by budgeting account provider thinkmoney, nearly 5 million people experienced the misfortune of being unable to pay for purchases because they were over their credit or spending limit on more than one occasion.
 
thinkmoney also discovered that 14% of people – that’s equivalent to more than 7 million men and women – had their card declined once last year.
 
Having your card rejected can be a humiliating experience, particularly if it happens while in a busy shop surrounded by other people. But thinkmoney’s research shows that it is a worryingly common problem.
 
While the sexes are pretty evenly split when it comes to running out of money and going over a credit or overdraft limit, there is a sharp divide between the older and younger generations. thinkmoney found that less than 4% of over-55s had their card declined once in 2013, compared to nearly one in five of those aged between 18 and 24.
 
Across the country, people living in the West Midlands had the most problems with card rejections – over 15% said their credit or debit card had been declined more than once in the last year. However, less than 5% of Yorkshire residents said the same.
 
Ian Williams, director of communications at thinkmoney, said: “It isn’t difficult to lose track of your spending. And just one unexpected payment can tip you over your credit or overdraft limit. But there are ways to stay on top of your finances and avoid the embarrassment of having your card declined in a shop surrounded by other people. One way to do this is to make a commitment to check your balance on a regular basis.
 
“Our account holders automatically get a text whenever money is paid into their account and can also text to get balances or mini statements on demand. Of course this is in addition to our mobile, online and telephone banking service. And because we ring-fence your money for bills, you can be sure that the cash on your card is available for you to spend.”