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flag A UK study finds 2.9 million drivers overpay vehicle tax by £50 yearly due to a 5% monthly direct debit surcharge, avoidable by switching to annual payments.

flag A 2024 study by Go.Compare reveals that 2.9 million UK drivers are overpaying Vehicle Excise Duty by an average of £50 annually due to a 5% surcharge on monthly direct debit payments, a fee not applied to one-off annual payments. flag Nearly 40% of motorists were unaware of the charge, leading to an estimated £56.3 million in avoidable costs yearly. flag The surcharge applies to vehicles registered on or after April 1, 2017, and switching to annual payment could save up to £250 over five years, though past fees cannot be reclaimed.

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