# Best Value Car Finance



## CCOVICH (19 Feb 2006)

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*New cars over €9,000:- Typical APR 7.9%; Used cars and new cars under €9,000:- Typical APR 8.9%; Purchase Instalment Fee of €1.

Note that this is a hire purchase agreement-restrictions apply.

*Tesco.ie Personal Loan*

All amounts over €2,500 are @ 6.9% until December 27th.

*AIB*

Variable rate car loan is 7.99%.  Hire purchase rate and car loan fixed rate is 6.99%.
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Fixed rates start at 6.9%.  Variable rates are higher.

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Rates for UFirst Account holders (monthly charge of €9) start at 7.68% (fixed)

For a list of other providers that may be able to provide a personal loan at a competitive rate, please see this thread.

Note that car finance should be cheaper than a personal loan as the former is secured.

Credit Unions can offer competitive rates to their members, however these rates vary between Credit Unions and may require money to be kept on deposit throughout the life of the loan.

When buying a car, dealers may give a substantial discount when paying 'cash' (i.e. by using savings or a personal loan). Finance arranged through the dealer will not qualify as 'cash'.

It is important to know the difference between loans and hire purchase/consumer hire. Please see this thread for further information.  All other things being equal, a loan is almost certainly preferable to hire purchase.

For further information, please click the links above. Not all applicants will be able to avail of the above rates as certain criteria apply. Information will be reviewed and updated regularly. Askaboutmoney does not accept any responsiblity for inaccuracies in the information.


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## Higherstate (12 Apr 2006)

*Re: Key Post:  Best Value Car Finance*

As someone who works in the industry the personal loans from Tesco/PTSB at rates under 7% are a real bargin. Rates for HP(hire purchases) are going up and more expensive. Also for a HP there is a documention fee of €70 + depending on the provider. 

Secondly for a HP when settling early there is an interest penalty of around 4-6mths due to loss of earnings for bank. While PL (personal loans) have only 2 - 4 weeks. 

When buying a car you get a discount when paying 'cash'. However this is already priced into the price of the car and the "discount" is not really a discount.


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