Car finance - where you stand - Introduction

Article 1 of 5 See all
  • Bank of England interest rates at a low
  • Bank borrowing rates high, though
  • How do you get money to buy a car?
Bank of England interest rates are at their lowest level since 1951, yet securing finance is harder than ever and, in many cases, more expensive too.

Take this What Car? reader's story of trying to secure finance for a new car late last year.

'I applied for a personal loan at 7.7% and was rejected. Then another company said it would lend me the money – at 74.8%!'

As crazy as it may sound, in the current financial climate his experience is not unusual.

In fact, you have to go back eight years to find a time when the best personal loan rates were as high as they are today.

After years of easy lending, finance companies are playing safe and, as our example demonstrates, the highest rates are sky-rocketing.

Car finance - where you stand - How it works

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