Are you Shopping around for credit to find the right deal for you

Getting Cheaper loans and cheaper credit deals

Most forms of borrowing money such as personal loans, credit cards, mortgages, interest free credit, car finance deals, store cards, in-store credit, hire purchase, bank loans and 'buy now pay later' deals can be shopped for the same way that you shop around for other products and services.
Credit is also a product like many of the things we buy every day so you can get the best deal by shopping around and comparing what lenders are offering. Getting the best will depend on whether you can put down a deposit, how much you want to borrow and how long you want to borrow for. There are lots of different options and you need to find out which is the best for you by comparing them.

You’ll also need to do your homework and think carefully about what you really need and how far you’re prepared to go to get it. Research your product and make sure you understand what you’re doing and what you really want. There are many organisations that can help with this and many reputable websites where you can get lots of information. The Office of Fair Trading and the Financial Services Authority are two excellent places to start. They regulate and monitor the finacial services companies and are a good source of information.

Comparing Finance, loans and credit deals using the APR

The APR or the annual percentage rate is one of the easiest way to compare similar credit or finance products. In most cases, the lower the APR, the less you pay. The APR is usually based on the interest rate and certain charges. But there may be other charges not included in the APR - so find out what these are before you sign the agreement and remember to read everything in the small print.

Getting started with shopping for credit.

The first step is to ask your friends or family for recommendation of potential lenders. Your next step would be to read expert opinions in national newspapers and magazines. These publications usually publish editorials that rate different finance deals from various lenders and companies. This information will give you a better idea of what to expect. You can then start visiting different shopping bots (shopping comparison websites) to compare products and shop around.

Some Sources of Credit:

- Retails Companies, e.g. supermarkets, car dealers, diy stores etc. (Usually partner with finance companies to offer special deals)

- Loan Comparison websites - Some web sites offer services that allow you to compare thousands of credit and finance deals from different lenders.

- The Major Banks and Finance Companies - Visit their web sites and find out if they have any special offers or deals

- Credit Brokers - Most independent brokers investigate all the credit deals on offer from every lender in the market to find the best for you.

Remember shopping around for credit can save you money and help you get the best deal that’s right for you.

Disclaimer: All information at this site is provided for information purposes only. Do not base any finance related decisions on this information. This is not financial advice and should not be used as such.