Say yes to cheaper van, home and car insurance

Taking out the wrong finance deal to buy a new car could land consumers in financial hot water, it has been claimed.

According to finance site Moneyfacts.co.uk, this may be a common occurrence as the new 57 number plates roll in to dealerships in September 2007.

Taking out the wrong loan on £10,000 could result in some people being out of pocket by as much as £2,600 - 26 per cent more than their initial borrowing.

In addition to car insurance and road tax, this could prove costly.

"I suspect much less time is invested in searching for the best finance deal. Get your finance choice wrong and it can prove a costly mistake," said Samantha Owens, head of personal finance at the firm.

This comes as the Sun has reported that naughty numbers plates using the 57 licence number have been banned by the DVLA.

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