Are there any terms and conditions I should know about before applying for a car loan?

This will be my first time applying for auto financing and I'm not sure what to expect. Which terms and conditions should I be aware of?

Answer
Perhaps the top condition you should know about before applying for a car loan is qualification for a company’s rates. In some instances, lenders may advertise a particular rate — but what they don’t tell you is that you have to meet a certain level of creditworthiness to secure that rate or any type of financing.
In addition, some lenders may also charge an “origination fee,” which covers the costs of underwriting, processing, and administrative tasks. These rates are typically around one percent to two percent of the loan. Just remember, you can always negotiate these fees.
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Eric Schad
Answered on Mar 12, 2021
Eric Schad has been a freelance writer for nearly a decade, as well as an SEO specialist and editor for the past five years. Before getting behind the keyboard, he worked in the finance and music industries (the perfect combo). With a wide array of professional and personal experiences, he’s developed a knack for tone and branding across many different verticals. Away from the computer, Schad is a blues guitar shredder, crazed sports fan, and always down for a spontaneous trip anywhere around the globe.
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