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Buyers attracted by 0% finance

Zero per cent finance offers are among the most effective tools to attract customers into a car showroom.

Research by GMAC Financial Services (UK), the financial arm of General Motors, found that 0% deals outweigh other marketing initiatives such as cashback, extended warranties and free accessories when car owners are considering their next purchase.

In total, 512 people were interviewed, all of whom bought their present car from new within the past four years. One-third rate 0% finance as the most powerful incentive.

Ten per cent say free insurance, money back and extended warranties are important.

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