Now you can nominate your own credit card limit

Many credit cards on the market have high interest charges – some more than 20 per cent – so users are badly hit if they can't pay off their debt each month. The customers paying these amounts allow the banks to make healthy profits.

Many card users will be familiar with annual fees but these can easily be avoided as many cards don't have this charge.

Credit card reforms last year also resulted in a multitude of changes for plastic users, with new cards taken out after July 1 forcing providers to direct repayments to the most expensive part of the debt first to reduce the amount owing faster. You will also be asked to nominate your own credit limit.