Tuesday 23rd of November 2010
People who have failed to shop around when choosing a personal loan may decide to start asking individual voluntary arrangement (IVA) questions if they have been unable to pay the finance back as a result of high rates.
According to a study by Sainsbury's Finance, loan apathy is costing Brits a substantial amount of money, which may be a result of individuals failing to consider their options.
A third of people admitted they received one quote before choosing a lender, even though rates can differ by up to 18.3 per cent - a potential £1,404 extra on top of a loan that runs over three years.
Head of loans at Sainsbury's Finance Steven Baillie stated: "Given the increase in number and popularity of price comparison websites it's surprising that so many people still go straight to their high street bank without comparing deals."
Last week, an investigation by the financial provider revealed that 21 per cent of Brits rely on credit cards to make purchases, even though half of individuals gain no loyalty bonuses for doing so.
By Neil Burton
- Debt consolidation loans falling, figures show
- Britons 'changing attitudes' towards debt management
- Homeowners 'more concerned with debt management'
- Low interest rate 'contributing to debt management efforts'
- Debt management growing in importance, survey finds
- Are you worried about falling further into debt?
