(Newswire.net — May 5, 2014) Melbourne, Victoria —
There is a lot of emotion in buying a new car, and arranging a car loan is sometimes an important part of that process. ASIC advises consumers they will probably get a cheaper car loan elsewhere if they don’t buy on the spur of the moment. They recommend that car buyers take the time to shop around for a cheaper car loan.
While car dealers are expert in cars they are not experts in car finance. They do not have the skills or required financial services training to properly advise customers on whether the car loan they are offering is suitable for the individual’s circumstances. All they are doing is putting a weekly price tag on their product, and in some cases adding extra profit for themselves.
The ASIC website www.MoneySmart.gov.au says ”Just as important as getting the best price on a car is getting the best credit deal”. The website goes further “If you buy from a car yard, the dealer might offer to arrange finance for you. While dealer finance might seem convenient, it can be cheaper to get a loan elsewhere….so check out what’s on offer before you opt for dealer finance”.
Brenton Hunt from MyCarLoan.net.au has been in the car loan business in Melbourne for over 6 years. He says that he is shocked at what the car dealers get away with. “I have seen situations where the sticker price of the vehicle was $50,000 but the loan documents were based on $55,000! The car dealer simply added another $5,000 of pure profit because the car was getting financed!” said Mr Hunt
Mr Hunt says the best way to get a cheaper car loans in Melbourne is to get a second quote from a reliable car loan broker. He says that many consumers are probably paying thousands more for their car loan just because they haven’t done a simple comparison.
“Recently I saved a young couple about $26 per week on a 4×4 they were looking to purchase. The total savings over a 5 year loan amounted to over $6,760, which would have been pure profit for the dealer if they had gone with him.” said Mr Hunt.
While he doesn’t save every client $26 per week, Mr Hunt says that regularly he beats car dealer financing by about $10 per week. “This is not a just a couple of cups of coffee as a car dealer would have you believe. A $10 per week saving is the same as $2,600 over the life of a 5 year loan. That’s real money that car buyers can save!” said Mr Hunt.
Mr Hunt apparently shares the same view as ASIC, “I’ve got two words to say about car dealer financing – Watch Out!”
If you are looking for a new car in Melbourne, you want to take notice of what the industry regulator and car loan expert are telling you – shop around and get the best car loan you can.
For more information contact:
Brenton Hunt
Tel: 1-300-24-1234
E-mail: brenton@MyCarLoan.net.au
Website: www.MyCarLoan.net.au