PERSONAL FINANCE CHAPTER 23
Lemon Laws
exist in many states and protect consumers from the consequences of buying a defective car
dealer add-ons
high-priced, high-profit dealer services that add little or no value
oxidize
when paint permanently loses its color and shine because of chemical reactions to the air
Vehicle Identification Number (VIN)
An alphanumeric number that identifies each vehicle manufactured or sold in the United States.
Classic Cars
Older vehicles in excellent condition that appreciate if valued as collectors' items.
Preapproval
The process of getting a new- or used-car loan prearranged through your bank or credit union.
lemon
a car with substantial defects that the manufacturer has been unable to fix after repeated attempts
car title
a legal document that establishes ownership of the vehicle
Car Detail
a service provided by specialists who clean and polish the outside, along with cleaning and treating the interior
polishing compound
a substance that can smooth out surface scratches, scuffs, and stains
car-buying service
allows you to choose the vehicle features you want, and a professional car buyer takes over the price negotiation for you
car registration
license tag fee that must be paid annually
sticker price
manufacturer's suggested retail price listed on a sticker in a new car's window
FTC Rule
requires that dealers fully disclose to buyers what is and is not covered under warranty for the used vehicle
invoice price
the price the dealer paid for the car
upholstery
the seat-covering material
hybrid
type of vehicle that uses alternate energy sources
vehicle emission test
verifies that a vehicle meets the minimum clean-air standards