Compare car loans beyond the monthly payment: test your skills
Negotiate the price first, bring your own financing quote and keep the term short. The monthly payment is the last number to look at. Answer each question to see the explanation; your score appears at the end.
This test checks that you can
- Separate price, financing and trade-in
- Compare a pre-approval with dealer financing
- Understand how term changes total cost
- Practice
1. What should you negotiate first?
- Practice
2. Why get pre-approved?
- Practice
3. A longer term usually…
- Key idea
4. Which statement best explains "Payment hides price"?
- Key idea
5. Which statement best explains "Bring a competing quote"?
- Key idea
6. Which statement best explains "Cars lose value"?
- Action plan
7. In the action plan, which step comes first?
- Mistake to avoid
8. Which of these is a mistake this lesson warns against?
- Mistake to avoid
9. Which of these is a mistake this lesson warns against?
A $1,500 service plan is added to a 60-month loan. Ignoring interest, how much does it add to each payment?
Show the answer
$25 a month
$1,500 ÷ 60 = $25 — plus interest on top, since it is financed.
Before your next car purchase, get one pre-approval quote and write down its rate.
More tests in this bootcamp
- Judge debt by its purpose, rate and total cost
- Choose a debt payoff plan: avalanche or snowball
- Compare debt consolidation without missing the fees
- Use credit cards without carrying interest
- Understand what moves your credit score
- Check your credit report and question errors
- Protect your identity and know the recovery steps
- Respond to debt collectors with records and confidence
- Understand your student loan repayment options
- Compare car loans beyond the monthly payment
- Decode your mortgage payment: principal, interest, taxes and insurance
- Final exam: Debt and credit