Buying a new car for the first time can be a bit stressful especially if you aren't familiar with some of the terms. We want to help take out the stress or confusion when you are buying a car with us! Below are some of the most common finance terms you will hear and use when buying a car.
Shopping for a new or used car is one of the most exciting experience you could ever imagine as you are given the ability to get your hands on something that will completely fit your needs and your budget. When you are shopping for a new or used car you will hear quite a few terms that can daunting, but when you work with Steet Ponte Chevrolet in Herkimer, NY you can feel confident you will understand all of the terms that we are talking about to make the most informed purchase possible.
If you are ever questioning what some of the terms that are thrown around by our staff members in our sales department or finance department, you can use this glossary below which will provide you with definitions to some of the most common words and phrases you will hear on a dealership lot. With our help, you will feel confident that you will understand everything that is told to you and you will be getting something that will make driving in Whitesboro or Little Falls much more enjoyable. Check them out below!
Shopping for a car throughout the entire Mohawk and Utica area can be tough, but thanks to our dedication to our customers like you, you will never feel overwhelmed or out of the loop when you visit. If you are looking to get a little extra preparedness before you visit, study this glossary and get a grasp on the numerous terms that you will surely encounter in your shopping experience.
Visit Steet Ponte Chevrolet today and see why drivers like you in Ilion love to shop here. See you soon!

Annual Percentage Rate (APR): A yearly rate that calculates the cost of debt and takes into account other factors like insurance and interest.

Asset: Something an individual owns that is worth money. This can be a home or car.

Blue Book: This is an abbreviation for "Kelley Blue Book". This is a guide for car buyers and sellers that help estimate the retail price of vehicles.

Commission: A fee paid to a sales person when they sell an asset.

Contract: A formal document that secures a binding agreement to the financing of an asset.

Current Liabilities: Any debts that must be paid within one year.

Dealer Holdback: When auto manufacturers sell vehicles to dealers at a 2 or 3 percent discounted price. This is so they can make a profit.

Dealer Incentives: Programs offered by manufacturers to increase the sales of certain models.

Destination Charge: The cost of transporting the vehicle from the manufacturer to the dealership.

Down Payment: The amount of cash that a person pays upfront for an asset before financing a loan.

Gap Insurance: Covers the difference between the book value of a vehicle and the remaining balance you still owe.

Interest Rate: The amount charged on a loan - the cost of credit. This is typically expressed as a percentage.

Lease: Temporary ownership of an asset. This is similar to renting an apartment or house. Monthly costs and mileage allowances (in cars) are negotiated by a contract.

Mileage Charge: Charges that must be paid when the lease of a leased vehicle is over and the negotiated amount of miles were exceeded.

MSRP: Manufacturer's Suggested Retailed Price which is the recommended selling price of a vehicle. The dealer's price may be higher, or the buyer may be able to negotiate a lower price.
Sticker Price: This is the same as MSRP and refers to the base retail price of a vehicle.

Vehicle Identification Number (VIN): A number that a manufacturer assigned to a specific vehicle. This number can be used to track the history of the vehicle.
 
These are some of the more commonly used terms when buying a car at a dealership. Our friendly finance staff is always available to answer any questions you may have! Stop in and see our Finance Manager, John Maher, with any questions you may have and see why our customers always say, "It's so easy to do business at Steet Ponte Chevy!" Give us a call at (315) 866-5080 today!
 






FINANCE MANAGER JOHN MAHER