Dealers see rise in motor finance

Around 61.5% of car buyers use motor finance provided by their dealer, research shows.

Figures released by the Finance & Leasing Association (FLA) have shown a 10% rise in the number of consumers purchasing a car using motor finance provided by their car dealership in the last year.

Paul Harrison, head of Motor Finance at the FLA, said: "Our figures highlight just how important finance sold in dealerships has become in helping people to buy new and used cars. Showrooms are the first choice for buyers because of the range and flexibility of the products on offer."

In November 2011, 61.5% of those purchasing cars used motor finance provided by their dealer. This in turn led to a 6% rise in the number of new cars sold and a 4% rise in the number of used cars sold.

The FLA havs predicted that the increase in people taking advantage of the competitive rates of motor finance dealerships can offer is set to continue into 2012.

Copyright Press Association 2012