Splashing out on a brand new summer or autumn wardrobe may cost shoppers far more than they had initially expected, according to Alliance & Leicester Personal Loans. For the one in four people in the UK who own a store card, they can expect to pay on average 26 per cent interest on their purchases, over three times more expensive than a competitive low-rate personal loan.
While the temptation to make an initial saving on purchases in-store can result in customers opening up a seemingly harmless store card, average interest rates of 26% mean that the millions of cards in use across the UK could turn out to be a very expensive 'money-saving' option.
For those who find they have amassed a large amount of debt, whether through store cards or otherwise, taking out a personal loan may be a wise choice to consolidate the total sum. At Alliance & Leicester people can also benefit from getting their hands on the cash on the same day. Whether you are looking to undertake home improvements, buy a new car or pay off expensive store cards, both new and existing customers can benefit from being able to access funds on unsecured loans in a matter of hours.
Mark Boyle, Personal Loans Manager at Alliance & Leicester, said: "Summer is as good a time as any to sit down and reassess your finances. Whether you are saving for a family holiday, or to free up some cash to make home improvements, it is good to take stock of outstanding debts."
Source: www.moneyextra.com/loans/news