The country should be a wsh with low interest rates as the Bank Of Englands standard rate is still the lowest it has ever been, but motorists are struggling to find low rates when it comes to buying a car, according to the Mail On Sunday. the best rate they could find was 8%+ in order to buy that dream car. The bansk still do not want to lend money for a purchase that will just depreciate, they are expecting a high dpeosit also. This of course is hurting the retail arm of used and new cars as few people have the cash to buy outright.
The motor car is normally the second most exensive purchase you will make and so many financial experts believe if you can get a contract hire on a low interest rate, then it makes sense not to have to worry about resalesbale value and let the dealership have this responsability. Of course contract hire is also a finance agreement, so often is directly related to the availability fo finance. As officially we are supposed to be out of reccession, the worry is that interest rates rise not get less, so we need to keep an eye on how it will affect retail sales and the contract hire market.