A car or auto loan is a type of secured financing, meaning the vehicle acts as collateral for the loan. If you default on payments, the lender may repossess the car These loans are typically repaid via fixed monthly installments (EMIs) over terms ranging from 36 to 72 months, and in some cases, up to 84–96 months .Because the loan is secured by the vehicle, interest rates are generally lower than unsecured loans
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