Many buyers, whether using cash or
car finance, might be surprised to learn how much they could be
saving on both new and
used cars, by taking a few simple steps.
Firstly, do you need a new vehicle?
Cars typically devalue by 20% as they are driven from the
showroom. Meanwhile, new
vehicles attract a 15% VAT charge. Nearly
new cars are everywhere, including demo models and rental cars.
Pre-registered vehicles may also cut costs.
Haggling, whether new or used, should always be attempted. The
motoring editor of Which? Richard Headland has been reported as
saying: 'Don't ever pay the listed price. The biggest
discounts tend to be on new cars because dealers are often
subsidised by the manufacturers. You should get 10 per cent plus
off new cars and at least 5 per cent off
second-hand models.'
Choosing the right
motor finance means considering the total cost for comparison.
Car dealers quote a flat rate of
interest, buyers need to consider APR. Some
car companies are still offering
0 per cent motor finance deals.
