Consumers 'should avoid plastic if they can pay there and then'

Consumers should avoid using credit cards if they can pay for goods there and then, it has been suggested.

This could mean Brits who have the cash to splash on a holiday home abroad may want to use an international money transfer system, rather than rely on plastic.

A spokesperson from the Consumer Credit Counselling Service (CCCS), explained people will end up paying more in the long-run if they use a credit card because of the added interest.

He also strongly advised individuals to avoid the temptation to use one to take out money from a whole-in-the-wall, as this works out as "far more expensive".

Credit cards can be very convenient, the spokesperson said, but "customers should think very carefully before they use them as there can often be an alternative way of paying".

According to a recent report by the Post Office, 2.6 million credit card users intend to spend more on their plastic for day-to-day living costs in 2009 than in previous years.

The CCCS is a registered charity that provides advice to those who are in financial difficulty.