car news headlines
New research has claimed that the introduction of the scrappage scheme in the UK will have little impact on finance deals for cars because new vehicles are depreciating in value so quickly.
According to a study carried out by price comparison site uSwitch, the £2,0000 incentive to replace an old car with a brand new one will be wiped out in just 88 days because new cars are seeing their value fall quickly.
Motorists could be encouraged to sell their new car before then in a bid to make the most of the money on offer under the scrappage scheme, which would also result in a greater flow of vehicles into the used car market.
"When choosing a new vehicle, motorists should ensure they research the rate of depreciation of their desired new car, as research highlights how some of the top ten most popular vehicles hold their value far better than others," warned Mark Monteiro, insurance expert at uSwitch.
The government announced the creation of the scrappage scheme in its Budget last month and the initiative came into force earlier in May.
It is hoped the scheme will stimulate more new car purchases, as the sector suffers heavily during the economic downturn.
More from Financial and Loan
Important to fix up your car finance
Jul 27 2010It is quite strange that people wanting to buy a new car are more concerned and conscious about the model they want to buy and the features rather than how are they going to arrange for its finance.
More from Financial and Loan
Ideal time to take car finance
Jul 26 2010The economic situation within the US looks like it is improving but the situation within Europe is far from comfortable.
More from Financial and Loan
Criteria to be fulfilled when availing car finance
Jul 26 2010It is natural that lenders expect those seeking car finance to fulfill certain criteria and these are mentioned in the form they are required to fill when they make that application.
More from Financial and Loan
Car finance preparation
Jul 25 2010Whether it is a new car or used car that you wish to purchase, you would do well to make use of car finance schemes that are on offer.
More from Financial and Loan
Avail car finance even with bad credit
Jul 25 2010If your bad credit report or score is bothering you and you feel apprehensive about getting access to car finance, then you can relax because you can get auto loans without anybody checking up on your credit.
More from Financial and Loan
UK Business Secretary Supports Car Finance Industry
Jul 23 2010Twickenham MP and business secretary Vince Cable has announced to delegates of the society of motor manufacturers and traders limited (SMMT) that motor industry is the backbone and balance to the UK’s economical strength.
More from Financial and Loan Motoring
Car Finance Still Available Despite Debt Still Rising
Jul 19 2010The recent recession has hit many UK citizens extremely hard, leaving many house owners, car owners and businesses in a desperate struggle for survival and with very little disposable income.
More from Financial and Loan
Valuation of your used car
Jul 19 2010While it is a very pleasant and thrilling experience to buy a new car, many people find it tough to understand what to do with their old one.
More from Financial and Loan
The used car trade-in decision
Jul 19 2010Having decided to go in for a new car, you are faced with the decision of what to do with the current one.
More from Financial and Loan
The final negotiation
Jul 18 2010Having assessed the value of your car and decided on the brand and model you wish to buy, it is time for the final negotiation.
More from Financial and Loan
