If you are looking to save money when purchasing car insurance, one way is to pay for a no deposit policy. No deposit car insurance is becoming a very popular alternative that allows you to keep more money in your pocket.
In standard insurance, a deposit is required for those who are paying their auto insurance on a monthly basis. In many cases, the deposit is priced at 20% of the total value of the policy which is paid along with the first payment. However, with a no deposit policy, there is no fee which means that you pay up to 20% less for the same insurance.
Of course, the next step is finding out if you are qualified to obtain such a policy.
Many insurance companies offer no deposit as part of their services. If you are looking for quotes, we can help you to find free multiple quotes from 100s of reputable car insurance companies in the UK. However, there may be some restrictions as far as getting this type of policy is concerned.
Good Credit Score: To have a good credit rating is vital because it demonstrates your ability to pay bills on time. This is the most common requirement for a no deposit policy.
Long Term Relationship: If you have been with an insurance company for a while, they may offer you a no deposit policy. This will depend in part on your credit score, but mostly on your past ability to pay your insurance premiums on time.
The sad truth is that many people are either not aware or do not believe that they qualify for this type of policy. It never hurts to find out by seeking out companies that offer no deposit insurance. You may find that your credit score is high enough to qualify.
There are some no deposit auto insurance benefits stemming from the fact that you save up to 20% immediately with the policy. For those who pay month to month, you can enjoy many advantages with this type of insurance.
No Big First Payment: Paying month to month is more convenient that all at once. The good news is that with no deposit, the first payment is just the premium only. This can make paying for your car insurance far more manageable.
Manage Your Budget: With no big first instalment, it is far easier to manage your monthly budget when getting this type of insurance.
Choose Better Policies: Because you are not paying as much up front, you may be able to get a better type of policy for your vehicle. What was one prohibitively expensive because of the deposit may now be affordable depending on the kind of insurance policy you choose.
In the end, the no deposit auto policy is one that is worth seeking out thanks to avoiding the 20% initial deposit fee. You can shop with us to find the best plan that suits your needs from the companies that offer no deposit insurance.