Survey Finds Consumers Do Not Bargain Hunt for Mortgage Loans
in Daily Dose, Data, Featured, Market Studies, News October 12, 2015 576 Views Survey Finds Consumers Do Not Bargain Hunt for Mortgage Loans Bargain Hunt LendingTree Mortgage Loan 2015-10-12 Staff Writer
Although the majority of Americans consider themselves bargain hunters when shopping for various items or services, less than one-third of these consumers do not shop around for better prices when searching for a mortgage loan.A recent study from LendingTree found that 79 percent of Americans consider themselves bargain hunters and 92 percent research prices online before buying an item.However, consumers do not appear to be as motivated to hunt for bargains when it comes to shopping for a mortgage loan. LendingTree determined that 30 percent of consumers seek the best prices when shopping for a major financial loan, such as a mortgage loan, while 18 percent indicated that they never look for better rates or prices on loans.On the other end of the spectrum, consumers seem to be more willing to shop around for much smaller purchases.”Once it comes to a major financial investment, we see a collapse of the normally rational pattern of behavior and mentality for saving.”The survey found that over 80 percent of consumers noted that they would go out of their way to save ten cents per gallon on gas, but only 17 percent of car owners negotiated their auto interest rate.“It’s an interesting phenomenon. Consumers are generally very savvy with their shopping behavior when it comes to day-to-day purchases and material goods,” said Andrea Woroch, LendingTree’s consumer savings expert. “But, once it comes to a major financial investment, we see a collapse of the normally rational pattern of behavior and mentality for saving.”She added, “Consumers sometimes may be too focused on price and fail to consider the lifetime cost of interest which is really where banks and lenders make their money. Over a five-year auto loan, or thirty-year mortgage, a one percent difference between interest rates can easily translate to thousands of dollars.”Woroch believes there could be a number of causes for this “irrational behavior” among consumers including:Many Americans don’t understand the long-term costs associated with compounding interest and the time-value of moneyConsumers are uneducated about loan shopping and the importance of comparing interest rates before financing a purchase.”It’s easy to become emotionally involved with the purchase itself or to find the loan process so frustrating that you would rather finalize the purchase instead of shopping around,” Woroch said. “Unfortunately, consumers are becoming accustomed to paying a premium for convenience on a variety products we purchase every day, such as bottled drinks for example. But is the convenience of not shopping for loans really worth thousands of dollars? Perceived convenience is a major trap consumers can fall into, but with technology improving our ability to find the best deal, saving money on your major finances is just as easy as online shopping.”Click here to view the complete study. Share
Limassol driving examiners gathered for two hours outside the road transport department offices on Friday to protest over the lack of staff.In statements outside the offices, the head of the Limassol association of driving school owners Simos Koufallis said the patience of the candidates was exhausted because due to the understaffing they have to wait for up to five months to take a test.He reiterated the danger that learner drivers are increasingly tempted to drive illegally.“When a young driver has 25-30 hours of training and does not succeed in the first test, he usually chooses to ride without licence and insurance until the next appointment comes up,” he said.Over the past ten years, 11 examiners have left the road transport department, culminating in 2018 when three of them retired within three months.Though two examiners were recently seconded from Paphos to Limassol after a letter was sent to the transport ministry on February 11, a severe shortage of examiners remains as there are still only four examiners in Limassol, who cannot cope with the demand.Koufallis added that the problem was bound to escalate in early summer when applications would almost double due to students returning from abroad, and graduating pupils.Commenting on an announcement from the road transport department which said additional examination dates would be added for the month of April in Limassol, Koufallis said the announcement was issued after the protest was declared and there was no way it could solve the problem permanently.The issue, he added, would be discussed at a meeting scheduled on April 4 with the transport minister.You May LikePopularEverythingColorado Mom Adopted Two Children, Months Later She Learned Who They Really ArePopularEverythingUndoLivestlyChip And Joanna’s $18M Mansion Is Perfect, But It’s The Backyard Everyone Is Talking AboutLivestlyUndoYahoo SearchYou’ve Never Seen Luxury Like This On A Cruise Ship. Search Luxury Mediterranean CruisesYahoo SearchUndo Pensioner dies after crash on Paphos-Polis roadUndoCruise passenger airlifted to Paphos hospitalUndoRemand for pair in alleged property fraud (Updated)Undoby Taboolaby Taboola
File image of Kim Jong-un and Kim Yo-jong. have been shattered under the cruelty of a government siege. She says she should not have come for the date with Abhi. the former world cup winning captain, firing a shot that Turkey keeper Volkan Babacan saved with his foot before the defender blazed wide following a slick attack down the right.that may have been tainted with a pesticide. about the new system. Let humanity prevail. the suspects started the car and headed towards them. Ileana D’Cruz and Patralekha walked the ramp at the ninth edition of the fashion show ‘Ramp For Champs’.