Britons planning to spend £26 billion on used cars

Britons are set to spend almost £26 billion on second-hand cars before February, new research shows.

With consumers planning to spend £5,018 each on used vehicles, it is important that those wanting to sell their cars know their market value, claims Sainsbury's Bank, which carried out the research.

Loans manager at Sainsbury's Bank Steven Baillie said that knowing the market value of a vehicle would help owners get a fair price and ensure sellers got a good deal when it came to buying a new one.

Haggling was also an important way to save hundreds or even thousands of pounds, he added, although 50 per cent of those planning to buy a used car in the next six months did not plan to do so.

The bank has launched a new valuation tool on its website to help owners work out the value of their car.

Buying a new or second-hand car is one of the most popular reasons for taking out a personal loan.