Students could make their finances go further when they start university this autumn by shopping around for things like car insurance, moneysupermarket.com has suggested.
With the average student debt now hitting £23,000, students would do well to be savvy with their money and save where they can, the price comparison website urges.
For example, moneysupermarket's analysis of student finances has found that taking a car to university could add an extra £1,690 to car insurance premiums, compared to keeping it at home, where it is generally deemed to be safer than in a student environment where flying traffic cones can be a dime a dozen.
Steve Sweeney, head of car insurance at moneysupermarket.com, said: "Such a significant increase in price means it is vital to consider whether a car really is needed while away at university. Students who do decide to follow this route must ensure they have contacted their provider to amend the policy details to reflect their change in living situation."
They should also ensure that they shop around for the best student car insurance deals available, he added, to make their money stretch as far as possible.
Students and their parents should also avoid 'fronting' in a bid to keep the cost of student car insurance down, moneysupermarket warns, as this practice of insuring the student's car in their parent's name can invalidate the policy and lead to the parents and driver being prosecuted for insurance fraud.
Mr Sweeney added: "Students considering this route are playing a very risky game. If an insurer finds out you are not the main driver and you happen to have an accident near the student halls of residence, your insurance and any potential pay out will be invalid. It could prove to be a false economy."
© Fair Investment Company Ltd
