Real rip off insurance

[HowMuchLonger]

Now I know that if you pay monthly there is normally a premium over an annual payment, but this takes the piss:

Annual: £1289.84
Monthly: £2136.38

Is it really ethical to charge 65% interest for a monthly payment plan?

[Rawwr]

You weren't trying to insure an R8, were you?

[Bisonhead]

Rawwr said:

You weren't trying to insure an R8, were you?

[HowMuchLonger]

It's okay, because I got it under my dads insurance as a named driver.

[sday12]

Fronting then.

[funkyrobot]

Fronting?

[OwenK]

Well they're just taking out a crap loan on your behalf - of course the rates are rubbish!
If you really, really need to pay monthly surely it's more effective to pay via credit card or similar?

[HowMuchLonger]

I don't ever pay monthly, but it hits those who can least afford it.

[shovelheadrob]

I pay monthly with NFU, 2.5% apr

[Willy Nilly]

HowMuchLonger said:

Now I know that if you pay monthly there is normally a premium over an annual payment, but this takes the piss:

Annual: £1289.84
Monthly: £2136.38

Is it really ethical to charge 65% interest for a monthly payment plan?

They can charge what they like for the finance bit, you don't have to take it. They can also charge what they like for the premium, same applies.

Either pay up, drive something cheaper to insure or walk.

[warp9]

It's a rip off finance charge, not insurance. Stick it on your credit card or try elsewhere.

[TwigtheWonderkid]

Why is it a rip off? They're telling you the cost upfront. They're not hiding anything. They obviously don't want people to pay by credit so they are discouraging it by charging a lot. But you haven't accepted it so it hasn't cost you a bean. How have you been ripped off.