Loans: beware of the pitfalls
EASTERN DAILY PRESS (SERIES) - 1ST FEBRUARY 2007
Although personal loans can be a great source of short-term unsecured finance for that new car or special holiday, you need to be aware of the terms and conditions. The interest rate or annual percentage rate (APR) charged will depend on your credit status. If you don’t meet your lender’s criteria, or have a less than spotless credit history, you may find that you’re offered the loan at a much higher APR.
Also beware of payment protection insurance. While this can be useful for some borrowers, you can purchase similar cover at a much lower cost from independent providers such as Britishinsurance.com.
