Once you have decided upon the type of vehicle you would like to acquire, you must figure out how you will pay for it. You basically have three choices:  pay all cash, which few people can do, buy the vehicle by making monthly payments over time through an installment loan, or lease the vehicle for a period of time. This module describes ways to finance a new or used vehicle.

In this module, you will learn:

• The difference between the purchase and lease of a vehicle.
• Benefits and drawbacks to leasing.
• How your credit rating affects your interest rate.
• Estimating your monthly payment based on interest rate and loan length.
• How total finance charges increase as loan length gets longer.
• The residual value of a lease.
• Estimating the monthly payment of a lease.
• Direct versus indirect financing of a vehicle.
• Dealer financing and insurance departments.
• Negotiating the best financing deal.