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Most car loans accrue interest on a daily basis. The more you owe on outstanding principal (the actual loan amount owed on the car), the more interest you pay. Generally speaking, when you make a car payment, first the money is applied towards interest, and then the remaining is applied toward your principal.
The more principal you have, the more interest you accrue. When you make a payment, the compounded interest is paid down. Therefore, if you make a weekly payment, you are only paying on 7 days of accrued interest, instead of 30 days.
While it may not seem like a lot, look at it like this:
A $7,000 car loan with 7% APR will cost you nearly $900 in interest if financed over 36 months.
If you pay weekly instead of monthly, that interest is cut by 75%, meaning you will only pay $225 in interest.
Instead of paying $200 a month, try paying $50 a week. Set it up with automatic billpay so you don't have to worry about it. Most banks do not charge a fee for this service.
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Making car payments can your car be repo?
If your paying for the car, they cannot!
If your car is in the shop but you are still making payments can they repo the car?
Not as long as the payments are current and have remained so.
Is it illegal to sell a car when your still making payments on finance?
No its perfectly legal and if you are still making payments on it, that increases values.
If you own your car or house and are no longer making payments should you still have insurance on them?
If you own your car or house and are no longer making payments, should you still have insurance on them? Explain why or why not.
What does a car amortization calculator do?
A car amortization calculator lets you compare payment options, like bi-monthly, monthly, or bi-weekly payments. It could help you organize your payments and facilitate paying off your car.
If you are making payments to the bank for your car does the bank have your car title?
no,you should have title.
Can your car be repossessed if it was in an accident and nearly totaled?
If you weren't making your payments yes. It would only be repossessed if you weren't making your payments.
Is it illegal to take a car out of state when you are still making payments on it?
Not as long as you continue to make payments on it.
What are the consequences of not making car payments?
If you do not make car payments you will default on your loan or lease. It will ruin your credit and end up with a repossession.
You stop making payments and they come get the car can they take you to jail for not making the payments?
No, once the car is repossed by the seller, you will not be arrested but the company will often resale the car at auction and can sue you for the remainder of what you owe including interest.
Would your car dealer have you locked up for not making payments?
No, they'd repossess your car.
If you've been late 8 weekly payments can the dealership report the car as stolen?
IF you are the REGISTERED OWNWER, NO. You cant steal your own car. They can REPO it.
