What is a car loan payoff amount?

I'm trying to familiarize myself with car loan terminology before I commit to financing. What is the payoff amount referring to?

Answer
“A car loan payoff amount is the total amount of money necessary to pay the entirety of your car loan, including interest plus principal. However, this amount isn’t just what’s on your last statement, as the amount can change due to the accrual of interest.
So if you’re interested in getting a car loan payoff amount, contact your lender. They will give you the total amount, as well as a timeframe to pay this amount before the figure changes due to added interest charges. “
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Eric Schad
Answered on Apr 07, 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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