We'd like to remind Forumites to please avoid political debate on the Forum. This is to keep it a safe and useful space for MoneySaving discussions. Threads that are - or become - political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
Car Finance
I know this subject is probably on here somewhere, but I'm not an expert at this. We are just about to buy a car and need finance for £7400. If we finance through hp it is 4.49% flat rate. A personal loan say from Lombard is 6%. But what is the best way to do this finance???
From Bewildered.
From Bewildered.
0
Comments
-
4.49% flat rate is not on the same scale as 6% APR, it actually works out dearer.
Get some quotes making sure the term of the loans is equal and compare the total amount repayable. If two loans are both over 5 years the dearer one is the one you pay most on. Sorry if thats obvious but salesmen are good at pointing you to the 4.49 bit and even better at steering you away from the facts you actually need to know.
Also, always make sure you are not being stung with insurance (PPI) that you don't want. A low quote isn't low if you can only get it with PPI.
Regards
XXbigman's guide to a happy life.
Eat properly
Sleep properly
Save some money0 -
6% APR is hugely cheaper than 4.49% flat (which is around 9% APR). Go for the personal loan!0
-
Try to get a credit card instead and either get a 0% and switch whenever it runs out of get a Life of Balance card, Texaco do one which is 3.9%2p off is still 2p off!0
-
The AA were doing some cheap loans for cars a few weeks ago0
This discussion has been closed.
Categories
- All Categories
- 347.2K Banking & Borrowing
- 251.6K Reduce Debt & Boost Income
- 451.8K Spending & Discounts
- 239.5K Work, Benefits & Business
- 615.4K Mortgages, Homes & Bills
- 175.1K Life & Family
- 252.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 15.1K Coronavirus Support Boards