MBNA, one of Britain’s two biggest credit-card providers, is demanding bigger payments in the latest sign that the rates squeeze is spreading.

The firm, which is behind Alliance & Leicester and Virgin Money cards, is raising its minimum monthly repayment from 3% to 5% from September.

The increase will add £552 to yearly credit-card bills for borrowers with the average £2,300 balance, or £46 a month.

MBNA raised its minimum rate from 2.25% to 3% last month.

The latest move comes as card companies also raise annual rates for existing customers — often as they come to the end of 0% balance-transfer periods.

Nearly a third of credit card holders have had their rates hiked during the credit crunch, according to research conducted by Moneysupermarket.

About 14% of MBNA customers have suffered rate increases in the past year. Some customers are now paying as much as 30% — however, MBNA refused to say how many pay this rate.

Egg, which made headlines earlier this year after a cull of its cardholder base, has raised rates for 11% of customers.

One cardholder, Mark Westgage, 42, an IT manager from Great Yarmouth, Norfolk, was told by MBNA this year his rate would rise by 10% from 14.9% to 24.9% when his 0% period ended. He said: “I was so displeased I transferred my balance to another card.”

MBNA said not all customers would pay the 5% repayment rate. However, it declined to say how many would be affected.