Chapter 13 Purchasing a Car
Certified Used Car
A car that has passed through the dealers mechanical and physical inspection.
Option
A feature available for a particular car, such as safety,performance, and economy
Car Warranty
A written promise to the customer that If something goes wrong with a vehicle within a specific time it will be repaired at no cost
as-is (no warranty)
Box is checked the buyer is responsible for all flaws and repairs after the sale
Warranty
Boxed is checked the dealer pays for repairs
auto superstore
Dealership that sells both new and used vehicles that are inspected,serviced, and warranted
Depreciation
Decrease in the value of property as a result of age and usage
Kelly Blue Book and Edmunds
Is a publication that lists the estimated resale value of new and used cars.
sticker price
Is the price displaced on a vehicle as its selling price
fixed expenses
Item in in your monthly budget
Truth in Leading Act
Law that requires creditors to provide borrowers with a complete written amount of credit terms and costs.
Vehicle Identification Number (VIN)
Number assigned by the automobile industry and used to identify a vehicle
Gap Insurance
Pays the difference between what you owe and the value of the automobile should it be stolen or totaled in an accident
Buyer's Guide Sticker
Placed on the window of a used car to explain the cars warranty coverage or lack of it.
Lemon law
Requires a seller or manufacturer of a defective vehicle either to replace or repair it or to refund the buyer's money.
manufacture's suggested retail price (MSRP)
Sticker price recommend by the manufacturer
Lemon law
a law that requires a seller or manufacturer of a defective vehicle either to replace or repair it or to refund the buyer's money
Lemon
a vehicle that has serious mechanical problems that the manufacturer has been unable to fix after a reasonable number of attempts
FTC Used-Car Rule
requires dealers to fully disclose to buyers what is and is not covered under a used vehicle's warranty
