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Paying for Car Insurance by Direct Debit

from: Amanda B





Just a quick note for those motorists who are looking to pay for their next car insurance policy by Direct Debit (DD).

At first sight paying for your policy by (DD) can seem like an attractive option, enabling you to spread the cost of the cover over the year. Be wary though and don’t just dive into the first offer you receive as some companies and insurers will charge you through the nose for the convenience of paying them in monthly instalments!

Using DD to spread the cost - could mean that your motor insurance cover costs up to 20 per cent more. Around 83 per cent of motor insurance policies charge interest if you pay by direct debit, with 8 per cent not stating whether you will be charged until you get a quote. The average APR is 21.27 per cent but the top rate is 37.12 per cent, charged by Provident, which could add £283 to the average fully comprehensive premium of £762.

You may be better off paying for your car insurance in a lump sum or using a low-interest credit card, which you can pay off at a lower rate than the one offered by your insurer.

Insurers that do not charge interest for paying by direct debit on motor insurance include Virgin Money and Age Concern.




About the author:

Amanda B is an expert on car insurance in the UK. You can view Amanda's Homeapproved Car Insurance website and make an informed decision on your next motor policy.









 


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Off Road Insurance News

Coming up (This Week Westerville)

Off-Site Mammograms, through the Columbus Cancer Clinic, provided by the LifeCare Alliance, 9:30 a.m.-2 p.m. Wednesday, Jan. 21, at Blendon Senior Center, 6330 Hempstead Road. Cost of $85 can be submitted to individual insurance, Medicare or Medicaid plans. Service provided regardless of ability to pay. Appointments required. Call (614) 263-5006.

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Road woes still a concern for Davis County (Ottumwa Courier)

BLOOMFIELD — The Davis County Board of Supervisors kicked off its first 2009 meeting with more of the same business as 2008 — road maintenance. Jay Gunderson of Christensen Farms raised concerns about icy conditions at the entrance to two of the company’s sites, both located at dead end roads.

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Spout Off (Cape May County Herald)

Money for nothing, checks for free......the American dream. But what about those who work for a living? Let's see, sacrifices so far, higher tolls, higher utility bills, higher health care costs ($1200.00 per year higher), higher insurance premiums, higher food and services.

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Death driver faces long jail term (ITV.com)

A woman driver is facing a long jail sentence after she crushed a baby to death in front of his mother. Katie Gutierrez-Perez, 39, swerved her Toyota 4x4 off the road and mounted the pavement outside Selwyn Primary School in Cavendish Road, Chingford, east London, last September.

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A long and winding road (The Homer Sun)

In the 16 years that Brent Hassert has been in the state legislature, he battled cancer, witnessed John Wayne Gacy's execution, and according to his colleagues, almost single-handedly convinced state officials to widen Interstate 55.

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