Buying a New Car Vocabulary & More

The APR-Annual Percentage Rate is the ______________ rate on a loan.

• Principal

• Interest

• Make

• Down Payment

When borrowing money from a bank, the ________________ is the amount of your monthly car payment that goes towards paying off your loan after interest has been deducted

• Principal

• Income

• MPG

• MSRP

The ________________ in a value of the car over time usually based on the wear and tear caused by driving the car is called depreciation.

The money you pay to the banker or car dealership upfront when getting a car loan is called ...

• the interest rate

• the depreciation

• the down payment

• the non-payment

The brand or company that made the car 🚘 is called ...

• Model

• Moral

• Median

• Make

______ _______ ________ or MPG is the measure how far a car can travel using exactly one gallon of gas.

__________________ refers to a specific vehicle name within a make, such as the Ford Mustang, Honda Accord, or Toyota Corolla.

True Market Value has the following components

• price of the car

• includes fees & other charges

• depreciation value

• are not included in the advertised price

A ______________________ is the assurance that your car will be protected from any major issues with the car 🚘 in case something happens before the number of years you own the car or the number of miles you drive it.

This is the starting point in negotiations at a car dealership. It is the amount that a car manufacturer advises dealers to charge.

• MPG

• Manufacturer's Suggested Retail Price

• Annual Percentage Rate

• Warranty