Demystifying Hyundai Finance Options
If you’re looking to purchase a new or used car, understanding auto finance terms can be an intimidating prospect. Luckily, our Hyundai finance department has put together this handy guide to give a basic overview of common terms you’ll hear when financing a Hyundai Tucson or other vehicle.
Q: What Does It Mean To Finance a Car?
A: Rather than pay at once in a lump sum, many shoppers at our Livingston Hyundai dealership and across the nation opt to finance their car. This means that they apply for a loan through our credit department, a bank, or other third-party loan provider and repay that loan with interest over a predetermined time period – usually between three and six years for new vehicles.Q: What is APR and How Does It Impact My Loan?
A: APR stands for “annual percentage rate,” which is the percentage of the overall loan that must be repaid per year over the loan term, usually month-to-month. This rate includes interest and fees, and it is determined based on a number of factors, most notably the borrower’s credit history, the length of the loan term, and the size of the down payment.Though it can be tricky to envision, the team at our Cookeville Hyundai dealership is always happy to help you crunch the numbers and see how changing the variables of your loan offer impact your final monthly payment.