Auto Loan Value: Your
Car's REAL Worth
One of the most important
factors in securing an auto loan is finding out the real value of the car you are buying. Auto
loan value, known also as loan value,
book value or retail value,
refers to the assessed worth of your vehicle.
It is based on many
different factors, such as make and model, manufacturer's suggested retail
price and car rates,
transmission type and mileage (if it's a used vehicle).
Other features such as airbags, sophisticated audio system and vanity
accessories also affect the value or worth of the vehicle.
When buying a new or used vehicle,
many of us would resort to securing some method of financing. In doing so,
an assessment of the value of the car will be done. In most cases,
the loan value of your car will be the basis for pricing and determining the
amount of money you should borrow.
The loan value will also give you an idea of the amount of down-payment you'll need to pay
the dealer. Knowing the real value of a car BEFORE purchasing one is a necessary step; you surely don't want to waste
your dollars on an over-valued car.
Written by: Katrina Marion
See our reviews for more on [ Auto Loans ]
|
