Over 40 per cent unaware of loan repayment rates

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Over 40 per cent unaware of loan repayment rates

Mon 23rd May 2005

It has been revealed that over 40 per cent of consumers seeking a loan would be unaware of the applicable repayment rate, according to a study from Nationwide.

According to the study, 41 per cent could not ascertain the rate when they called major financial companies, citing difficulty in getting the right information from firms refusing to give quotes.

In total, 38 per cent of consumers were told that they would need to open an account before getting a quote, and a quarter were told that they could only obtain a quote if they agreed to take the call during the call.

"The findings are very disappointing - so much for transparency in financial services," said Stuart Bernau, executive director at Nationwide.

"It has been shown just how difficult it is to shop around for a good deal, but how can customers be expected to buy a product without knowing what it will cost them? There is no other product or service, that I can think of, where you agree to buy before you know the price."

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