The Road Ahead : August September 2008
features Save yourself You could save with RACQ Finance. ou could save with RACQ Finance. STORY BELINDA PETERS W ith the cost of living and interest rates continuing to climb, it’s now even more important to get the best possible deal on your car loan. Although many loans may look the same, the costs over their full term may vary signifi cantly due to differences in the fees for everything from application and origination through to service and early termination. A comparison of RACQ Finance’s loan and that of two alternative fi nanciers, all charging 11 percent interest over a 60-month term on a loan of $19,000, uncovered that consumers could save as much as $2100 with RACQ’s loan. This is due mainly to its low application fee and the absence of origination or account-keeping fees. Savings will depend on personal circumstances. RACQ’s executive manager, commercial business and alliances, John Devaney, said that fees were often not considered as part of the overall purchase decision but could add signifi cantly to the cost of the car before the ink on the fi nance contract had dried. “In some cases these upfront fees can be in excess of $1000 and this is before a single dollar of interest has been charged. The fi nance charges all add to the cost of the vehicle,” Mr Devaney said. SAVE WITH RACQ A discount interest rate on personal loans is just one more great reason to belong to RACQ. Members receive an interest rate reduction from the standard non-member rates. The longer you’ve been a member, the lower your interest rate will be. Interest rate reductions start from 0.25% for Blue members and rise to 1.25% for Gold 50 members. For details on potential savings with RACQ Finance, visit racq.com or call 1300 361 316. 28 AUG/SEP 08 Photo by James Robey, Shutterstock.com.
October November 2008
June July 2008