borrowing loan - personal or car loan cheaper?

I

itallhelps

Guest
hi there,

I want to borrow 10,000 from a bank as I have a CU loan and I want to pay off that loan straight away interest too high. Is there a difference in apr rates if apply for a personel or car loan? Any idea what the current rates are for AIB or BOI etc. at the moment.
 
There are differences. Generally a new car loan will qualify for cheaper rates than a personal loan, but for used cars or new cars of less than a certain value, the rate will be closer to that on a personal loan.

I would take a look at www.tesco.ie and see if you qualify for 7.9% fixed. Be aware that there are penalties for early redemption on fixed rate loans.

I believe that Hibernian are also offering loans at fairly competitive rates, but you're best bet is to ring around as rates vary between institutions, by amount borrowed, credit rating etc.

By the way, if you get car finance I believe that the lender will need to see an invoice, and the draft will be issued in favour of the dealer, so I don't think you can actually get a car loan unless you are buying a car.
 
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