Glossary of Auto Loan Terms
(M)
Manufacturer
The company that makes that automobile.
Manufacturer's Rebate
A specific amount set by the manufacturer that will be given back to
the buyer. The rebate amount is often used for a down payment but in
some cases the buyer may find that they are able to use that money
for associated expenses, such as paying taxes, licensing fees or
finance costs.
Manufacturer's Suggested Retail Price (MSRP)
The Manufacturers Suggested Retail Price is the price the
manufacturer recommends as the purchase price for the car. As a
general rule, the MSRP is negotiable.
Market Value
Market value refers to that amount a willing buyer would pay a
willing seller in an open deal with no extenuating circumstances.
Maturity Date
The date set for the loan to be completed. Typically, this is the
date estimated as that payoff for the loan but it may also be a date
before the loan is paid off. In that case, the borrower agrees to
either pay the principal owed in full on that date or to renegotiate
the terms of the loan.
Monthly Payment
Monthly payment is the amount that the buyer pays each month.
Remember that the monthly payment amount is only good to a
particular date soon after the due date. After that point, late fees
and penalties likely apply.
MSRP
The Manufacturers Suggested Retail Price is the price the
manufacturer recommends as the purchase price for the car. As a
general rule, the MSRP is negotiable. |
