Experian Reveals Borrowing Intentions Of Car Loving Brits

Britons are increasingly prepared to borrow money in order to help them purchase a car.

Such is the claim of Experian in which a recently released study reveals that one in ten women state that to buy an automobile they would be ready to get into debt. However, it appears men are even more intent on obtaining a motor car. Just under a fifth (18 per cent) of males questioned claimed that they are happy to go into the red to get behind the wheel. Meanwhile, a third of respondents report that as the ways in which other people view them has an influence on them, they are most likely to borrow money to purchase a vehicle.

For those looking for an effective way in which to finance purchasing a car, applying for a low-rate personal loan could be advised.

Research from the firm also indicated that consumers living in central regions of the country are most prepared to go into the red to get a car. It was reported that 16 per cent of people from the West Midlands, East Anglia and the east Midlands are ready to exceed their budgets to get a vehicle which will make them appear wealthy.

Kirk Fletcher, managing director for Experian’s Automotive division, said: “The credit crunch is having a significant impact on consumer confidence across the UK, yet this survey highlights the fact that the consumer’s desire for a car that projects the right image remains as strong as ever. However, increasing debt leads to an increased risk of fraud. Recently there has been an increase in the number of stories in the media where people have attempted to sell their cars without settling the finance on them. It highlights the need for both businesses and consumers to be more cautious in their dealings.”

Mr Fletcher went on to assert that as outstanding finances is the largest and most important issue for consumers purchasing a second-hand car, it is crucial for consumers to make sure they protect themselves. He stated that motorists must ensure that before buying a car they should check its history using a service such as Experian’s AutoCheck.

Findings from the firm also indicated that 42 per cent of respondents are from a household with one car. Meanwhile, 29 per cent have two vehicles, with just under a tenth (nine per cent) possessing three or more automobiles.

When on the look-out for a car, consumers may be advised to consider taking out a loan. In doing so, borrowers may find that they can purchase a model quickly, effectively and are left with an affordable rate of repayments to make. The financial assistance that a loan provides could also help motorists to purchase a comprehensive insurance policy.

Earlier this month, a study carried out by swiftcover indicated that over a fifth of drivers do not know if they will be covered should they have an accident while eating or smoking when behind the wheel. Meanwhile, more than a third are unaware whether underrating their mileage will affect their insurance, although the firm pointed out that doing this may mean consumers’ cover is made invalid.

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