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Car Finance:-Buying Online-V-Buying From a Dealer

Published: 6 January 2009 in Vehicle Loans

Buying Online-V-Buying From a Dealer

The internet has made vast amounts of data and information available to us at any time of day, any day of the year. Not only can we source information locally, but we can trawl the vast openness of cyberspace and gather advice, prices and all manner of technical information or gossip from all corners of the world.

This becomes very useful when looking at making purchases of goods or services. Instantly, we have available to us as many comparisons and opinions as we can absorb – usually to the point of total confusion.

So when considering a purchase, is it always 'best' to buy online or to go to a local store?

Well, clearly it is quick and easy to make price comparisons from lots of suppliers online. Shipping and import tax and duties can be a challenge to work through if buying from overseas, but usually there are many domestic suppliers for most items that make this task easier. Secondly, it is incredibly convenient. There is no need to leave the home; risk the highways or pay for parking; trudge round the shops and spend endless hours queuing. So if you live in the country or a small town with limited access to bigger stores, this has to be the way to go – doesn't it?

Well, for smaller items maybe. However, you will have to risk putting your personal and credit card details into cyberspace and trusting the stores security is up to scratch. Also, you'll be oblivious as to whether you are dealing with a one man band or a major retailer – unless the store is well known to you. Whilst it may not be a major concern, you'll also have to wait for your goods to be delivered.

As the value and size of the items being bought increases, there is a desire to know with whom you are dealing with and make sure that you have access to some sensible after sales service. Buying goods over the internet can save money but the backup may be limited and refunds nonexistent.

So, as your commitment becomes greater, so the need to meet a retailer, press the flesh and feel more in control of the transaction becomes greater. Buying a stereo system or holiday may be acceptable on the internet – but most people would baulk at buying a car or a caravan sight unseen!

So here is where the local store comes into its own. The ability to meet with a salesperson, see and touch the goods and know that there is some after sales backup should it be required.

Where there is a desire for regular purchases, it may be possible to open an account or agree additional terms of supply. This is difficult to organise with an online supplier.

One of the other benefits of buying direct is anonymity, if required. You can remain totally safe in your transaction if that is what you desire and not have to disclose any personal information whatsoever – unless the item you are buying demands it! In addition, cash transactions can generate additional savings.

Finally, there are the social reasons for buying locally. Supporting local businesses and helping to sustain the community in which you live can be important and should not be underestimated. Sure, things can be cheaper bought over the internet but is it always worth saving a pound or two in preference to supporting a local business?

Perhaps the ideal world is to find a way of balancing and combining the two methods of purchase. Use the internet for sourcing information and prices and buy local where possible in person. Certainly for larger purchases, local and personal supply will probably win out over remote internet buying. However, the net shopping world is becoming ever safer and accepted – especially as the younger generation who have known little else become earners and shoppers. They tend to be more immune to the risks of internet shopping and happily post personal information to all parts of the net.

In response, there are new methods of payment being developed to cut down on online fraud and theft. These include one time use credit cards which eliminate the risk of skimming.

So, in the end it comes down to a combination of practicality, price and personal preference. Although hard to believe, many people actually enjoy the pleasure of shopping for goods in busy stores and searching out or haggling for their bargains. There are others who wouldn't dream of buying anything other than online. Auction sites like Ebay and retailers like Amazon.com have changed a generation's perspective about online shopping – and it will only get better as time goes by!

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Useful Financial Links

Please find below some links that you may find useful from JST Financial. These links are to external sites and will open in a new window.

Consumer Direct from The Office of Fair Trading carries extensive Loans information, covering everything from Unsecured Loans to Right to Buy Mortgages.

MoneyMadeClear (The Financial Services Authority) offers a great, free to use Loans Calculator.

Trading Standards offer advice on taking out a loan and what your rights are.

If you know of any other links that you believe may be of use to our visitors, please contact us.