Liverpool criticised for tempting Reds into debt

Last updated : 06 September 2002 By John Cassy, The Guardian


Credit card users are being urged to spend up big in return for the chance to win tickets to watch Michael Owen's Liverpool take on David Beckham's Manchester United.

The prize is being offered to the biggest spending Hong Kong residents who sign up for an official Liverpool football club credit card, despite a problem with personal debt in the former colony.

Beckham and Owen are the biggest soccer stars in the Far East and have found themselves at the centre of a war between credit card companies eager to attract new customers.

A pair of tickets is on offer to watch the England idols meet in the Premiership, plus complimentary travel and hotel accommodation, to the card holder who spends the most or makes the most transactions with a minimum purchase price of £18 between the start of September and end of October.

The techniques used by credit companies and banks to attract new customers have come under increased scrutiny in Hong Kong following a wave of personal bankruptcies.

There are an estimated 9.5m credit cards in Hong Kong among 6.8m residents, many of whom have been bitten hard by an economy in recession. Credit card debt write-offs rose 47% in the second quarter of this year to about £200m.

"We have had concerns about the marketing practices of financial institutions and the way they market their products," said Ronald Cameron at Hong Kong's Consumer Council. "We feel in some cases it led to the level of unsustainable debts by some consumers." The council has urged banks to conduct more stringent credit checks on potential customers.