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New Car loans and Used Car Loans

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The APR on used car loans will almost always be higher compared to and new car loans. However the repayment periods are usually much shorter since used cars can be significantly less expensive than new cars. The exceptions to this are rare and classic cars which are always highly valued, depending on the condition.

Always check whether your car dealer belongs to a trade body like the Society of Motor Manufacturers and Traders to ensure that they comply to motor industry Code of Practice. This is especially important in the case of purchasing used cars and you will want to be certain that your rights as a consumer are recognized should problems arise down the road.

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