Switching loans could save consumers money
January 26, 2008 by admin
Filed under News, News-Loans
Consumers with unsecured personal loans could save up to £1.25 billion in interest by switching to a different provider, according to new research. 
Findings from uSwitch.com reveals that those borrowers with an £8,000 loan over five years could save £166 by switching to the current best buy interest rate of 6.5 per cent.
Mike Naylor, personal finance expert at uSwitch.com, blamed “confusion and apathy” for holding consumers back from making savings on their existing loans.
“2.5 million people think the savings from switching a loan mid-term are too small. 1.6 million loan customers said it’s too much hassle and the most the discouraging news is that 14 per cent wouldn’t even consider doing it,” he said.
uSwitch urged consumers to consider changing their loan provider while they still can as many providers are now operating personal pricing, an option which prevents customers comparing prices.
Meanwhile, figures from the Office of National Statistics revealed that disposable income is at its lowest level in a decade.
