Categories: Lifestyle

10 Things You Should Know Before Getting a Car Loan

Loan Terms are Stated in Months

In most personal loans and mortgage loans, the terms are listed in years. For auto loans, the terms will be listed for a number of months. Make sure to divide by 12 to get the total length of your loan amount to make sure it suits your budget.

A common car loan is 60 months, which means five years for the term of the loan. This also means you will pay very little on the actual principle for the first year or so because the payment is split to pay more interest in the beginning.

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