More Car Insurance Tips


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Also be aware that some companies quotations only show an annual premium on an online quotation and state that if you want to pay by monthly instalment you will need to call them directly. However when you do this you will often find that the insurance premium quoted doesn't just increase by the £30 or £40 per annum that you would expect, but actually more like £200. This will make the insurance cover unaffordable for a number of people as not everyone has a spare few hundred pounds to enable them to pay their insurance upfront.

There are some ways around this:-
1) You could ask a member of the family if they would lend you the money and you will set up a direct debit to pay them each month
2) Pay the annual premium your credit card and then do a 0% balance transfer to another card. The set up a Direct debit to the card which you made the transfer, make sure that it is always going to credit before the payment date and not use that card again until the balance is cleared. You will probably be charged a transfer fee but that would normally be a few % of the amount and so could still be less than a normal Monthly Instalment option would be. Before using this option, you must make sure that the option of a 0% transfer is actually available.
3) If you have savings you could make the payment out of your savings and again set up a direct debit to pay back to your savings account. Or you could go back to the drawing board and look for a provider who will let you pay monthly without excessively increasing the premium.

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Updated on 21st May, 2009

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