Deals to oil the wheels
It pays to shop around for car finance, says Clifford German
Sunday 30 July 1995
Moneyfacts, the Norfolk-based financial information service, has picked out special finance deals on offer for car buyers
The cheapest no-frills loans come from First Direct, which will offer an existing customer an unsecured loan of pounds 6,000 repayable in 36 monthly instalments of just under pounds 200, at an annual rate of just 12.9 per cent.
That does not include insurance against redundancy or sickness, which would raise the monthly payments to pounds 226.24, and the total payments to pounds 8,144.64 over three years.
Including insurance, the cheapest offer is from Alliance & Leicester, which charges pounds 224.46 a month, and pounds 8,080 over the period. Special offers from the AA, TSB and HFC Bank are significantly more expensive, but come with a range of goodies including cheaper breakdown cover, motor insurance and special rates if you want the car professionally inspected.
But as Moneyfacts points out, you might well be able to get as cheap a rate of interest by taking out a general-purpose unsecured loan from any one of a number of banks and building societies. It will always pay to shop around.
How much a car or general loan will cost
Lender Loan (pounds ) Monthly Payment APR%
(pounds 6,000 over 36 months)
with insurance without
AA 1,000-10,000 257.29 209.00 15.2-15.3
Alliance & Leicester 2,500-7,500 224.46 201.13 13.4
Bank of Scotland 500-15,000 233.77 206.49 15.9-16.1
First Direct 1,000-15,000 226.24 199.92 12.9
Halifax branch 500-10,000 232.56 212.78 15.9-17.9
HFC Bank 500-10,000 250.40 219.41 20.5
Nationwide branch 1,000-10,000 229.47 210.12 16.9
TSB branch 500-12,000 239.70 207.57 15.9
General purpose loans
Clydesdale 500 upwards 221.90 201.56 14.0
N&P 1,000-10,000 233.63 204.13 14.5
Abbey National negotiable 228.44 204.98 14.9
Midland Bank 500-10,000 231.63 204.99 14.9
Barclays Bank 500-10,000 237.10 207.70 15.9
Notes: AA charges 1 per cent fee, offers insurance and inspection discounts and upgrade to Relay Service. Rates apply to members only. Bank of Scotland, First Direct and Halifax offer applies to existing customers.
Clydesdale charges pounds 30 fee, Alliance & Leicester, N&P and Abbey National require repayment by direct debit, Barclays offers up to pounds 100 of Boots vouchers.
Source: Moneyfacts (01692-500765).
- 1 Rarest Beanie Baby of them all could be sold for £62,500 on eBay
- 3 Driving while dehydrated can be just as dangerous as drink driving, study suggests
- 4 Farmer told to tear down mock-Tudor castle after hiding construction behind hay bales
- 5 One Direction: Louis Tomlinson launching his own record label, has already 'signed two acts'
Isis video purports to show beheadings and execution at gunpoint of 30 Ethiopian Christians and destruction of churches in Libya
Rarest Beanie Baby of them all could be sold for £62,500 on eBay
Professional big game hunter Ian Gibson crushed to death by elephant during hunt
Driving while dehydrated can be just as dangerous as drink driving, study suggests
Ben Affleck asked TV chiefs to hide slave-owning ancestry, new hacked Sony emails published by Wikileaks claim
If I’m being racially abused I don’t need a stranger with a saviour complex to rescue me
The only black face in the Ukip manifesto is on the page about overseas aid
Ukip is the only main political party to not address LGBT rights in its manifesto
Food banks: One million Britons will soon be using them, according to Trussell Trust
Religion isn't growing, it is becoming vigorous in its demise, says philosopher AC Grayling
BBC election debate: The one photo that summed up the whole 90-minute leaders debate
iJobs Money & Business
£20000 - £25000 per annum + OTE £45,000: SThree: SThree Group have been well e...
£50000 - £667000 per annum + excellent benefits : Ashdown Group: IT Manager / ...
£13000 - £20000 per annum: Recruitment Genius: Scotland's leading life insuran...
£40000 - £45000 per annum + benefits : Ashdown Group: Training Programme Manag...