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dem82 [27]
3 years ago
5

How does increasing the size of your down payment impact your auto loan?

Business
1 answer:
Gnom [1K]3 years ago
5 0

Answer:

The correct answer is letter "C": It decreases the size of your principal and decreases the total cost of the loan .

Explanation:

Down payments are the initial sums debtors pay when requesting a credit. Down payments are usually mandatory but the debtor can offer the sum voluntarily.

<em />

<em>If the sum provided in the down payment is higher than what is requested, the amount of the principal will be lower. If the amount of the principal is lower, the total of the interest paid in the course to the loan will be lower as well, thus, the cost of the loan will be reduced.</em>

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Learn more about this here

<em>brainly.com/question/14617264</em>

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