| Dealer ads in the newspaper can sometimes be | | | | want to pay those fees upfront then the payment will |
| difficult to decipher. There are many phrases, | | | | be higher if they are rolled into the loan. |
| abbreviations, and disclaimers that can make them | | | | 4) Rebate To Dealer- This disclaimer means that |
| difficult to understand unless you know what these | | | | whatever price or payment is being advertised on the |
| mean. Here is a list of explanations of common terms | | | | vehicle the dealer has already taken whatever |
| you will see in these ads. | | | | rebates are available off of the price to get to the |
| 1) O.A.C- This stands for "on approved credit". When a | | | | advertised offer. |
| dealer has an ad that offers some type of monthly | | | | 5)A.P.R- This stands for "annual percentage rate". |
| payment or special interest rate you will see this | | | | Pretty self explanatory but anytime you see an |
| disclaimer. Auto dealers do not lend money but they | | | | interest rate advertised it will have APR next to it. |
| do arrange financing through direct lending agreements | | | | 6) Security Deposit- When you lease a vehicle the |
| they have with various banks. When they advertise a | | | | leasing company will require you to pay a refundable |
| special finance rate or monthly payment it will usually | | | | security deposit upfront that is due at the lease signing. |
| be at the cheapest rate they can find. To qualify for | | | | The amount of the security deposit can vary but it is |
| these offers you will have to meet certain credit | | | | usually equal to your monthly lease payment rounded |
| criteria. Not everyone will meet these guidelines so this | | | | up to the nearest $25.00. This deposit will be returned |
| disclaimer is to let consumers know that if you qualify | | | | to you at the end of the lease provided the vehicle is |
| through their lenders for this offer you can take | | | | returned in good condition and there are no mileage |
| advantage of it. Otherwise it may be slightly higher. | | | | overage charges. In some instances leasing companies |
| 2) Well Qualified Buyers- Similar to O.A.C this | | | | will run special offers where they will waive the |
| disclaimer means that you have to meet certain credit | | | | security deposit. |
| criteria to qualify for the advertised offer. With this | | | | These ads are not intended to be deceiving but there |
| disclaimer though the qualifications are going to be | | | | are so many variables that go into calculating |
| very strict. There may be income requirements as well | | | | payments and leases and special financing offers that |
| as credit requirements. | | | | dealers could not possibly put all of this information in |
| 3) Zero Down Plus TT and L- When a dealer | | | | the add itself. By adding these disclaimers and |
| advertises a lease or loan payment it may say zero | | | | abbreviations they can still get their message or offer |
| down plus TT and L. This stands for plus taxes, title, | | | | across. If you have questions you can call the dealer |
| and license fees. So in all reality you are putting zero | | | | and they will be happy to go through the ad with you |
| down towards the price of the car itself but you have | | | | to make sure you understand before making a |
| to pay for your taxes, title work, and license fees | | | | purchase decision. |
| upfront to get that advertised payment. If you don't | | | | |