An auto loan translates simply to an automobile loan or car loan.

Succinctly put an auto loan is a personal loan given to an individual by a lender, such as a bank, for the express purpose of purchasing a car for personal use.

The loan can not be used for any other purchase other than that specified otherwise it is considered a breech of the lawful transaction agreement and if discovered may result in prosecution.

Interest is paid regularly on the principle loan and applicants may be screened before approval is given.

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