Many plan to buy a car with a loan
2.09.2008
A significant number of people seeking to buy a new car are planning to do so using a loan, a new report reveals.
Research by Sainsbury's Bank showed 6.85 million people are planning to purchase a new car between September this year and next March.
One in four people are planning to take out a loan to pay for at least part of the purchase, meaning that 18.4 per cent of the overall amount spent on new cars will come from personal loans, the company stated.
Steven Baillie, head of loans at Sainsbury's Finance, said there are now a million fewer potential car buyers than a year ago, but those who are planning to make a purchase are willing to spend £300 more than six months earlier.
Last week, Moneyfacts reported that there is a significant difference between the cheapest and most expensive loans currently on the market.
The firm urged consumers to shop around for the best loans.
Research by Sainsbury's Bank showed 6.85 million people are planning to purchase a new car between September this year and next March.
One in four people are planning to take out a loan to pay for at least part of the purchase, meaning that 18.4 per cent of the overall amount spent on new cars will come from personal loans, the company stated.
Steven Baillie, head of loans at Sainsbury's Finance, said there are now a million fewer potential car buyers than a year ago, but those who are planning to make a purchase are willing to spend £300 more than six months earlier.
Last week, Moneyfacts reported that there is a significant difference between the cheapest and most expensive loans currently on the market.
The firm urged consumers to shop around for the best loans.
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