Here are some of the terms that you need to know before and durng your purchase process.

The total amount being provided to you by the lender.

Annual Percentage Rate, or APR, is the cost of a loan, including the interest rate.

The amount of cash or trade equity applied to the purchase.

The difference between the trade payoff and the actual value of the trade. It may be positive or negative.

The total dollar amount you pay as a loan cost.

A retail installment sales contract agreement is slightly different from a loan. It is however an agreement between the buyer and the seller on the terms of the loan. Click here to see a sample

Finance charge calculation based on the unpaid principal balance, number of days between payments and the APR.P>

Additional documentation or action required by the borrower to complete the transaction, like proof of income, proof of residence, customr interview, etc...

The number of monthly payments provided for in the retail installment contract. The total length of the loan.

The amount you will have paid after you have made all payments as scheduled in the retail installment contract.

The total cost of your purchase on credit including finance charge, down payment and amount financed.