Going topless this summer?

July 31st, 2007

How to get a convertible motor without feeling the financial heat ...

Over 100,000 Brits are expected to purchase a new convertible car this year¹; leaving their wallets open to considerable damage says Moneyextra.com.

With the sun coming out at last, the great deals available to prospective cabriolet purchasers in cooler months could soon be a thing of the past, as dealers increase their prices to make the most of demand².

Robin Amlôt, Senior Editor at Moneyextra comments "Given that forecourt deals won’t be around for long, consumers should look at other areas to see if they can re-coup funds from elsewhere".

To keep the financial consequences of owning a convertible car under control, Moneyextra.com suggests the following tips:

• Look at the newer coupe-cabriolet models with a folding hard top as these will hold their seasonal value more than their soft-top counterparts.
• Before taking the plunge, take a look at how your insurance costs will be affected. Insurance for convertible cars is often higher, as drivers of such models are more likely to make a claim and have a driving conviction³.
• Having a folding roof could increase annual car tax costs due to higher CO2 emissions⁴.
• Avoid forecourt finance as you can often find yourself paying un-necessary charges⁵ and vastly inflated monthly payments due to the condensed term.

 

For further information, please contact:

Robin Amlôt
Senior Editor, Moneyextra
Tel: 0870 191 5626
public.relations@moneyextra.com

¹ Based on total sales of convertible cars in 2006 which were 100,626.

² Good weather could create such demand that there is a waiting list for convertible models, causing consumers to pay the full retail price of their chosen car. However, bad weather causes stock tends to build up – this means that discounts or package deals are more freely available.

³ Based on information from Diamond Insurance.

⁴ Comparison of leading models as below:

⁵ PCP (personal contract purchase) agreements require consumers to pay any combination of the below, none of which are charged by personal loan providers:

• Credit acceptance fee
• Credit facility fee
• Option to purchase fee if car not exchanged at end of the term
• Mileage fee if total mileage exceeds expectation at the end of the term

PCP agreements have an average term of 3 years, whereas personal loans of the same value have an average term of 7 years.

Moneyextra.com regularly wins awards - in 2007

• Finalist Customer Focus, National Business Awards Wales/West Country Region
• Finalist Growth Strategy, National Business Awards Wales/West Country Region
• Money Marketing IFA of the Year 2007 - won as part of AWD Group

Moneyextra.com is one of the UK's longest-established personal finance websites. It has 536,000 unique users and delivers 5.5 million page views every month and has 513,000 registered users.

As at 25th June 2007, Moneyextra.com featured:

• More than 10,000 Mortgages from 126 providers
• 205 Personal Loans from 55 providers
• 211 Credit Cards from 63 providers
• 1,505 Stocks & Shares ISAs from 58 providers
• 173 Cash ISAs from 91 providers
• 123 Current accounts from 36 providers
• 876 Deposit accounts from 149 providers