WANT THAT NEW CAR? DON'T OVERPAY!
WANT THAT NEW CAR? DON'T OVERPAY! Research reveals consumers can overpay by £1,000s if they choose expensive car showroom deals Buying a car can be a "mini adventure" according to the ads, but getting the best car finance deal needn't be. With registration plates set to change on 1st September, many drivers are lining up to buy new cars, but moneysupermarket.com is urging them to reject the expensive car showroom finance deals and shop around for a more competitive loan. Research from moneysupermarket.com, a website where consumers can compare the cost of personal finance products and save money, reveals that consumers could be overpaying by more than £2,000 by not shopping around for the best deal to pay for their new car. The research compared car showroom finance deals with the most competitive loans on moneysupermarket.com and revealed some startling results. For example if a buyer took out a Peugeot car finance deal over three years with a 10% deposit to buy a new Peugeot 206 costing £10,595, the total amount repaid would be £12,867*, based on a loan of £9,536 (i.e. £10,595 minus 10% deposit). However, if he/she took out the most competitive personal loan via moneysupemarket.com for the same amount and paid back over the same time period the total amount repaid would be £10,563 offering them a huge potential saving of £2,303. These savings could finance a Caribbean holiday for two or even another car. The table below compares the car finance deals on offer from Peugeot, Ford and Vauxhall with the best personal loan rate available from moneysupermarket.com and reveals the huge savings that can be made. Car Finance Deals* Best personal loan deal available online for each car on moneysupermarket.com CAR PRICE APR Total APR Total repaid over 3 Saving And amount repaid yrs borrowed over 3 yrs Peugeot 206 GLX 14% £12,867 7% with £10,563.84 £2303.16 1.4 3 door with 10% Cahoot £10,595 deposit Flexible (Loan amount: Loan £10,595 minus 10% deposit = £9, 536) Ford Fiesta 1.4 13.9% £12,585 7% with £10,635.84 £1949.16 Ghia 5 Door with 10% Cahoot £10,675 deposit Flexible (Loan amount: Loan £10,675 minus 10% deposit = £9,608) Vauxhall Corsa 12.1% £13,819.8 7% with £11,854.44 £1965.36 SRI 1.4 5 door with 10% Cahoot £11,895 deposit Flexible (Loan amount: Loan £11,895 minus 10% deposit = £10,787) * Sourced on the internet or with car dealerships over the phone Richard Mason, Sales Director at moneysupermarket.com said: "Even though car prices have fallen by up to 20% over the past year, buyers may not be taking full advantage of this saving because they are opting for expensive car finance deals. However, with incredibly low interest rates available from a wide number of loan providers, there is no need for people to take the finance deal offered by the showroom salesmen. People shop around for the best car insurance or a credit card deal so why shouldn't they for car finance? By spending a few minutes on www.moneysupermarket.com, they can research over 400 loans, find the deal that suits both their timeframe and pocket, and apply online straight away." ENDS For further information, please contact: Richard Mason, director or Rebecca Mayo/Jane Budge Moneysupermarket.com Lansons Communications Tel 01244 665 700 Tel: 020 7490 8828 firstname.lastname@example.org email@example.com firstname.lastname@example.org Notes to editors Mortgage 2000 · Mortgage 2000 Group (M2), which launched www.moneysupermarket.com in December 1999, was formed in 1993 and now has staff of 105. Last year's Group profit was £1 million on turnover of £5 million. M2 has over 7,000 IFA and mortgage brokers subscribing on a paid basis. · An independent survey carried out by the IMLA involving over 10,000 intermediaries concluded that M2 has 50.2% of the intermediary mortgage sourcing market. M2 estimates that over 30,000 mortgages are completed monthly through the M2 network. This represents almost 20% of the entire mortgage market. moneysupermarket.com · www.moneysupermarket.com is the most comprehensive website in the UK for any kind of mortgage, credit card or personal loan deal. Wherever possible, surfers can apply online for credit. Consumers using the site have access to: · Over 4000 mortgages, 400 credit cards and 400 personal loans · Exclusive deals with some of the countries top loan providers for credit cards, personal loans and mortgages · Online applications to 45 mortgage lenders immediately (cover 80% of the market), 6 credit card and personal loan providers from 4 January 2000. Providers have a service standard of an hour to check and fully underwrite applications and email back a decision-with some providers taking as little as 3 minutes. · Access to specialist lenders normally available to intermediaries i.e. the mortgage brokers · A 'rate alert' service' which alerts clients by email to market leading rates. Simply key in your current loan arrangements and the site emails you details of better deals as and when they are available · Providers dealing specifically with customers who have an adverse credit history · A calculator that works out the savings to be made by switching credit cards · A personal finance news update which includes a summary of the top five best mortgage, credit card and personal loan arrangements - updated daily - this is emailed to the consumer daily, weekly or monthly · Easy to use electronic application forms which require details to be keyed in once ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2002/08/14/20020814BIT01320/wkr0001.doc http://www.waymaker.net/bitonline/2002/08/14/20020814BIT01320/wkr0002.pdf