Buying a Car Terms

To lease a car means to...

• buy it. It will be yours at the end of the lease.

• rent it. You will return it to the dealership after the lease.

What is a down-payment?

• means they reduce the price of the car

• it's money you pay upfront, before taking a loan out for a car.

Tags

CCSS.HSA.CED.A.2

CCSS.HSA.SSE.A.1

What is interest rate?

• the percentage of the loan you'll pay the bank in addition to the original loan amount.

• how interested you are in buying the car

Tags

CCSS.HSA.SSE.A.1

CCSS.HSF.BF.A.1

True or false? At the end of a lease, you will get your down payment back.

• True

• False

Having dents or dings in your car would be more of a problem if...

• you took out a loan on the car.

• if you were leasing the car.

True or False: Leases typically have higher monthly payments than a loan.

• True

• False