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Buying a Car

TermDefinition
APR (Annual Percentage Rate) a number calculated by taking into account the total cost of a loan, including what the borrower will pay in interest
Coupe a car with two front seats and a smaller backseat for occasional passengers
Collision Insurance insurance that covers the car of the insured person and pays for repairs after an accident or cash compensation if the car can’t be repaired
Lease an agreement that gives one party the use of a commodity for a specified period of time for a specified price
Liability Insurance insurance that compensates an injured party up to a certain amount outlined in the policy statement
Loan an amount of money given to the borrower for a set period of time
Minivan a car that is designed for maximum passenger space
No-fault Auto Insurance insurance drivers must have for their own protection
Sedan a common type of car that has two rows of seats and a trunk
SUV (Sport Utility Vehicle) a car with multiple rows of seats and significant towing power
Created by: tmikels52