14 September 2006
uSwitch has commented on research by Alliance & Leicester Personal Loans which shows drivers who sign up to finance packages with a car dealer could be out of pocket by almost £1,400.
The price comparison and switching website revealed that consumers could waste over £1,171 each in unnecessary interest payments if they opt for the over-priced credit deal from the car showroom instead of taking out a personal loan.
Nick White, uSwitch head of personal finance, said: ""I can't deny that looking for a new car is far more exciting than searching for the best financial package.
"Dull as this part of the process may seem a rushed decision or just taking the financial burden. The average interest rate for car showroom finance deals is 11.3% APR - more than double the best rates that are currently available on the personal loans market
"Paying too much for car finance is really easy to avoid. By organising the loan before visiting the car showroom, people will not feel pressurised to get the cash quickly to secure the car of their dreams.
"Motorists looking to buy a new car this year should first visit a price comparison website such as uSwitch.com to find the most competitive personal loan for their purchase."
Make a personal loan comparison with uSwitch.com and find the personal loan best suited to your needs.
© 2008 Adfero Ltd
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