Comments on: Do car insurers charge extra per month for paying up monthly ?

By: Ben

Ben — Sun, 07 Mar 2010 12:22:51 +0000

Some insurers charge more when you pay monthly and some don’t.

By: justNangel

justNangel — Sun, 07 Mar 2010 12:04:40 +0000

yes the quote you get is usually what you pay in a lump sum unless you have spoken to them and had it confirmed i’d expect to pay more if paying monthly

By: Brittany Due 3/17/10

Brittany Due 3/17/10 — Sun, 07 Mar 2010 11:46:35 +0000

Most companies don’t charge interest but a monthly billing fee. They also give discounts for paying 6 months or a year in full.

By: andy w

andy w — Sun, 07 Mar 2010 07:28:44 +0000

Yes, they will charge a higher cost for monthly payments than a single payment.
Reason is that it costs them more to process such payments over the 12 month period.

By: frankie

frankie — Sun, 07 Mar 2010 05:45:45 +0000

Yes, insurers do charge more if you pay monthly. They have worked out the total cost of the premiums for your yearly cover and are in effect loaning you the outstanding amount at X-rate of interest.

You’ll be amazed just how many scams big biz pull out there including reducing the cost of gas and electricity if you pay on-line etc.

Another whopper scam is the age old banking trick of only having one stash of money to pay out when they go broke. Thus, if you had two separate accounts with what you thought were two separate banks, but which were in fact in the same group, you’ll only get protection up to the first £50,000 – thus if you had invested £50,000 in one account and then another £50,000 in another account, but with the same group, if they go bust, you only get half your money back.

Watch out for scams – trust no one, least of all the idiots in the House of Commons who make up laws with more holes in them than a shot through sail from HMS Victory after the Battle of Trafalgar. . . .

By: richard b

richard b — Sun, 07 Mar 2010 05:00:31 +0000

not interest, but a service charge for processing your payment each month. my insurance company bills me in six month intervals, but they allow me the option of splitting my payment in half, but they will charge me $2 for that convenience.

By: Sal*UK

Sal*UK — Sun, 07 Mar 2010 04:47:29 +0000

Yes, because you are entering a credit agreement. Cheaper to pay 12 months up front if you can.

By: WelshLad

WelshLad — Sun, 07 Mar 2010 04:32:44 +0000

Of course they charge more to pay monthly, it’s a loan.

By: Cano[boi]

Cano[boi] — Sun, 07 Mar 2010 04:21:34 +0000

Most insurance companies charge a small fee for paying monthly. They want you to pay six months in advance (where there would be no fee). But they call it a service charge.

By: suparuss

suparuss — Sun, 07 Mar 2010 02:57:56 +0000

yes they are not mugs… rip off merchants but not mugs