Credit crunch 'affecting car buying decisions' - Loans - News - Moneyfacts

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Credit crunch 'affecting car buying decisions'

Credit crunch 'affecting car buying decisions'

Category: Loans

Updated: 12/11/2008
First Published: 12/11/2008

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Those taking out unsecured loans for the purpose of buying a car have changed their priorities, it has been found.

Research by AA Personal Loans has revealed that 45 per cent have changed their vehicle due to financial pressure.

It follows a study by Populus in March, which showed that just 28 per cent believed fuel economy to be most important.

But the AA's new Car Purchase Index has suggested that the economic downturn is now leading consumers to choose a car that is cheaper to run.

"Our report shows that the current financial climate is making people reconsider their options when buying a car and looking for something cheaper to run is a good way for a family to economise," said chief executive officer of AA Personal Loans Mark Huggins.

New car purchases dropped by 23 per cent in October, the Society of Motor Manufacturers and Traders revealed last week.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

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