The Trading Standards...

The Trading Standards Institute says buyers are amassing huge debts and adding thousands of pounds to their model"s original price, as they"re being persuaded to take out high-interest credit

The investigation was instigated after a teenager ended up forking out more than чЈ20,000 for a чЈ7,000 car.

The Trading Standards Institute says buyers are amassing huge debts and adding thousands of pounds to their model"s original price, as they"re being persuaded to take out high-interest credit on the vehicle. TSI experts are concerned about drivers being offered one high-interest plan to cover the deposit and another for the balance.

Selling insurance, breakdown cover and warranties on credit is also a lucч­rative sideline for garages, and many don"t offer legal cooling off periods - so buyers can"t back out when they realise the cost of an agreement.

Our table shows how the unnamed 19-year-old paid more than чЈ20,000 for a чЈ7,138 used Ford Focus - with a new price of чЈ13,000 - after signing up to all the credit on offer. TSI"s Peter Stratton said: "Some dealers, in particular independent car supermarч­kets, seem to be exploiting young dri-vers" keenness to get their first vehicle. Buyers shouldn"t sign anything without knowing what their total payout will be, what they"ll owe each month and whether better deals are on offer."

Visit www.consumerdirect.gov.uk or call 0845 404 0506 for more advice.