AUTO
LOAN
Auto Loan or Car Loan
are loans offer for all types of automobiles and cars.A loan is a type of debt.
All material things can be lent; this article, however, focuses exclusively
on monetary loans. Like all debt instruments, a loan entails the redistribution
of financial assets over time, between the lender and the borrower.The borrower
initially receives an amount of money from the lender, which they pay back,
usually but not always in regular installments, to the lender. This service
is generally provided at a cost, referred to as interest on the debt. A borrower
may be subject to certain restrictions known as loan covenants under the terms
of the loan.
Acting as
a provider of loans is one of the principal tasks for financial institutions.
For other institutions, issuing of debt contracts such as bonds is a typical
source of funding. Bank loans and credit are one way to increase the money supply.Legally,
a loan is a contractual promise of a debtor to repay a sum of money in exchange
for the promise of a creditor to give another sum of money.(1)Source
(1) Wkipedia