RBA rate cuts prompt consumer credit applications 28 July 2015 3:22PM John Kavanagh Two interest rate cuts since the start of the year have encouraged consumers to shop around for credit deals, according to the latest Veda Consumer Credit Demand Index.Veda said the volume of credit card applications that went though its consumer credit bureau during the June quarter was up 15 per cent on the June quarter last year.Veda's general manager of consumer risk, Angus Luffman, said "the high level of campaign activity," including extended zero rate balance transfer offers, zero purchase rate offers and bonus reward points offers, was encouraging consumers to shop around for cards.Reserve Bank data shows that consumers are spending more on credit cards but not accruing debt.The Veda index also shows personal loan applications rising 6.4 per cent in the June quarter, compared with the June quarter last year, and mortgage applications increasing by 12.5 per cent."A low interest environment encourages consumers to shop around for a better deal on mortgage finance, so some of the growth in mortgage applications can be explained by consumers switching between providers," Luffman said.