Comparison sites may be ‘confusing’ for borrowers

People may look to price comparison sites for a consolidation loan because they seem an easy way to search through options, but Which? has said they may not be as simple as they look.

According to the consumer magazine, the three major price comparison websites do not always give the same results for insurance, loans and credit cards.

One site, for example, found the cheapest standard-rate credit card on the market to be one with a 12.9 per cent annual percentage rate (APR), while another comparison site found a card with an APR as low as 6.8 per cent.

The research suggests that people hoping to clear debt or get loans for other reasons may not be getting the cheapest rates available.

Martyn Hocking, editor of Which? Money, said consumers should compare comparison sites to make sure they get the best deal.

“You might be very confused to find that different sites can give you vastly different quotes and often don’t give enough information for you to make an informed choice,” he warned.

People in debt may also benefit from money-saving advice, also released by Which? this week.

By Morwenna Kearns