Bank Loans Vs 0% Credit cards which is best??

xx_stacey_xx1

Hi guys, im quite new to the site but need some info to make the best decision?

My car recently got broken into (its an old car not much security) and now i feel the car is no longer safe to leave in the car park by my house.

I want to but a new car but unfortunatly do not have the funds to pick one off the fore court, so that's where you guys can help i need approx £5000 over 2 yrs which would be my best bet to pay less interest back??

Many thanks

Stace:o

FireWyrm

Unless I have completely mis-understood, a 0% card only gives you 0% on BALANCE TRANSFERS not on new purchases. Most cards have outragous rates of somewhere between 19 and 25% on new purchases which this most certainly is. In that case, a loan is your better bet as it's likely to be lower....but not by much.

CLAPTON

a crook lock or similar would be cheaper

vacheron

Hi Stacey.

When you say it was broken in to, was that an attempt to steal it, or just an opportunist looking for valuables? If the latter then it is no harder to break the window on a newer car than an older one, and will certainly be more expensive to repair the damage.

If you can get a card with the credit limit you need, then this will be the cheapest option providing it is managed properly, however i have not seen a card with the 24 months at 0% on purchases that you would require.

You could apply for one of the 12 month purchase cards and then do a balance transfer in 12 months time, however this will have a 3-4% charge associated with it and comes with the risk that you may not qualify in a years time because you will have the original card on your credit file when you apply for the second one.

Also bear in mind that the dealer may charge you about 3% for using a credit card to cover their processing fees.

xx_stacey_xx1

Yes that proberbly would be cheaper but need a new car anyway this has just pushed me that little bit extra, thanks for your quick replys, so loan it is then.

Thanks
Stace

Hi Vacheron,

They only managed to take valuables but in all honesty i have wanted a new car for a while and will be heading off to uni so need something more reliable. I understand where you are coming from with regards to breaking into newer cars but if i was a burglar i would proberbly think twice with a newer car. p.s will also buy from a local advert not off a fore court.

Stace

Stace