Union president: Remove restrictions on credit cards
by Daily Sabah
ISTANBULAug 26, 2015 - 12:00 am GMT+3
by Daily Sabah
Aug 26, 2015 12:00 am
Abolishing the restrictions on credit card installments and raising the extreme limit on consumer credit to 60 months are necessary to reinvigorate the economy, the Confederation of Turkish Tradesmen and Craftsmen (TESK) President Bendevi Palandöken said. Palandöken said in his written announcement that consumers are staying away from spending due to the political uncertainty and this is causing temporary economic stagnation. "The practice that the Turkish Banking Association has carried out about abolishing the restrictions on credit card installments is very positive. To reinvigorate the economy, the restrictions on credit card installments should be abolished and the extreme limit on consumer credit should be increased to 60 months," emphasized Palandöken.
Noting that tradesmen are facing trouble since people are spending less, Palandöken stressed that they supported the practice of abolishing the restrictions on credit card installments. Additionally, in case the extreme limit on consumer credit is increased to 60 months, consumers will be encouraged to spend. "This will put an end to the economic stagnation and relieve both consumers and tradesmen," Palandöken said. Palandöken said that consumption came to a halt because of the temporary uncertainty and that consumers prefer buying foreign currency instead of spending their money. Foreign exchange deposit accounts in banks have increased by $30 billion, thereby reaching $185 billion since February, Palandöken said adding that, "If some of this money is channeled into consumption, the foreign currency's fever will reduce and the economy will be revived."