Commonly Used Finance Terms
Ever wonder why it feels like the sales reps on dealer lots are speaking a different language? The process of buying or leasing a vehicle can be very complex, especially when things like loans, down payments, and contracts are involved. Buyers and lessees are going to hear a lot of legal jargon that they just aren't used to in everyday life. Here's a quick run-down of some basic need-to-know terms.
- APR, or Annual Percentage Rate: The amount of interest that you will pay on a loan annually, expressed as a percentage.
- Blue Book: A shortened form of 'Kelley Blue Book,' which typically lists the value of a vehicle as determined by experts behind the publication.
- Credit, or Credit History: 'Credit' simply refers to credit history, which allows lenders to determine your ability to repay loans according to your financial history.
- Depreciation: The gradual decline of a vehicle's value over time due to age, wear, and similar factors.
- Destination Charge: A fee that the manufacturer charges a dealership that covers the cost of shipping the vehicle to their location.
- Down Payment: The amount of cash a new car owner or lessee offers upfront, which will reduce the amount owed and result in lower monthly payments.
- Finance Charge: The total amount of interest charges you will pay over the life of your loan.
- Lease: A system in which a driver borrows a vehicle from a dealership for a negotiated period of time and pays monthly payments that account for the vehicle's depreciation at the time of returning the vehicle to the dealership.
- MSRP, or Manufacturer Suggested Retail Price: The base list price or sticker price for the vehicle.
- Principal: The total amount owed on a loan that does not include interest.
Mountaineer Mitsubishi
615 North Eisenhower DriveBeckley, WV 25801 Driving Directions
Sales
304-256-7400
Service
304-256-7400
Parts
304-256-7400
Monday | 8:30AM - 7:00PM |
Tuesday | 8:30AM - 7:00PM |
Wednesday | 8:30AM - 7:00PM |
Thursday | 8:30AM - 7:00PM |
Friday | 8:30AM - 7:00PM |
Saturday | 8:30AM - 6:00PM |
Sunday | Closed |
Monday | 8:00AM - 5:00PM |
Tuesday | 8:00AM - 5:00PM |
Wednesday | 8:00AM - 5:00PM |
Thursday | 8:00AM - 5:00PM |
Friday | 8:00AM - 5:00PM |
Saturday | 8:00AM - 12:00PM |
Sunday | Closed |
Monday | 8:00AM - 5:00PM |
Tuesday | 8:00AM - 5:00PM |
Wednesday | 8:00AM - 5:00PM |
Thursday | 8:00AM - 5:00PM |
Friday | 8:00AM - 5:00PM |
Saturday | 8:00AM - 12:00PM |
Sunday | Closed |