22 June 2006
Retired people in the UK are twice as likely to invest in a new car as their younger counterparts, according to research by AA Personal Loans.
It found that 43% of over-50s planning to buy a new car over the next year aim to purchase a brand new vehicle.
That compares with 23% of under-50s.
"With increasing costs of bringing up a family, people under 50 are finding it more difficult to afford the luxuries in life," said Lloyd East, general manager of AA Personal Loans.
Despite this, he advised that despite this, buying a second-hand car need not be such a bad financial decision.
"The value of a car can depreciate by as much as 30% within the first year after purchase. As a general rule, this rate of depreciation will halve to 15% over the second and third years after purchase before levelling out.
"For added reassurance, if you buy with an AA Personal Loans a free six-month warranty on second hand vehicles brought with an AA Car Loan," he added.
Make a personal loan comparison with uSwitch.com and find the personal loan best suited to your needs
© 2008 Adfero Ltd
Content for the uSwitch.com market news service is provided by a third party, Adfero Ltd. Whilst uSwitch.com makes reasonable efforts to check the reliability of this content, uSwitch.com does not guarantee the accuracy thereof or endorse the views or opinions given by Adfero Ltd, unless expressly stated otherwise.