Finder personal finance expert Sarah Megginson said consumers were feeling the squeeze, spending more on cards and carrying more debt. (Source: Finder\/Getty) <\/p>\n
Australians are racking up credit card debt<\/a>, with data showing people are spending more on their plastic and carrying more debt month to month. It\u2019s sparked \u201calarm bells\u201d from experts, as Aussies are hit with mounting interest charges<\/a>.<\/p>\n Around 44 per cent of Australian credit card holders<\/a> now have a balance that is accruing interest, Finder\u2019s latest Consumer Sentiment Tracker found. With the Reserve Bank of Australia’s (RBA) average rate sitting at 18.61 per cent, this means people may be paying far more than they originally borrowed.<\/p>\n Finder personal finance expert Sarah Megginson told Yahoo Finance many households were struggling to stay ahead of repayments, as pressures like higher mortgage costs<\/a> and rent increases eat into budgets.<\/p>\n RELATED<\/p>\n \u201cConsumers are clearly feeling the squeeze, as they\u2019re spending more on cards and carrying more debt month to month,\u201d she said.<\/p>\n Credit card spending surged to $39.1 billion in September, Finder analysis of RBA data found, with purchases up 8.6 per cent over the past year. Shoppers made 324 million transactions during the month, averaging $3,194 per card.<\/p>\n Balances accruing interest, meanwhile, reached $20.5 billion, up 7.3 per cent year on year. The average cardholder now owes $1,674 on balances attracting interest.<\/p>\n Along with rising debt levels, the number of active credit card<\/a> accounts also ticked up 0.6 per cent from last month and a year ago. It has now reached 12.2 million nationwide.<\/p>\n In October, data from consumer analytics firm Equifax found credit card applications had surged 14.4 per cent year on year.<\/p>\n