According to top switching
company uSwitch, thousands of consumers in the UK are chucking
their
money down the drain by not choosing to shop around for
car finance .
The company indicates that this March, as thousands of
borrowers commit to
personal loans and other forms
of car finance to afford a new
registration plate
car, as much as £174 million will be wasted.
uSwitch indicated that the average
car finance policy from a
car dealer charges just shy of 10 per cent APR, over 3 per cent
higher than the most competitive
unsecured personal loan deals.
Mike Naylor, an expert from uSwitch personal
finance, reportedly commented: Brand
new cars are already a big expense but consumers can
unwittingly inflate the purchase price by up to £1,100 by choosing
the wrong
finance deal . Finding a competitive
loan and having the money ready to buy the car immediately will
not only ensure that people
get cheaper finance but it also gives them more bargaining
power to get the best purchase price. Just because a car dealer can
offer you a good deal on a new car, it doesn't always mean that
they will offer the best deal to finance it.
