Terms with Tag Automotive
- Gross Market Value (GMV) — Acronym,
- High Risk Auto Insurance — Definition,
- Auto insurance for drivers with an increased risk of collisions.
- Honda Canada Finance, Inc (HCFI) — Company Est. 1987, Canada, ➥ Provides financing and leasing options for Canadian consumers.
- Illiquid Asset — Definition,
- An asset that cannot be sold easily or in a timely manner for its full value.
- Insurance Fraud — Definition,
- An illegal attempt by an individual or entity to receive insurance benefits that they would otherwise not be entitled to or for an insurance company to deny a legitimate insurance claim.
- Lease (lse) — Abbreviation,
- A written agreement in which the property owner allows a tenant to use property in exchange for rent, and for a specified period. Or, a written agreement in which a car dealer allows a consumer to use a vehicle in exchange for payments for a specified period.
- Manheim Automotive Financial Services (MAFS) — Company, US and Canada,
- Manufacturer's Suggested Retail Price (MSRP) — Acronym,
- Stands for Manufacturer's Suggested Retail Price. It represents the manufacturer's recommended selling price for a vehicle and each of its options.
- Mercedes-Benz Financial Services (MBFS) — Company, Mississauga, Ontario, Canada,
- Mileage Allowance — Definition,
- The number of miles, specified in a lease, that a car may be driven over the life of the lease.
- Mint Condition — Definition,
- A term describing a building or item that's just like new.
- Money Factor — Definition,
- A leasing term that expresses the cost of borrowing. It is similar to the interest rate paid on a conventional car loan, but it is expressed as a difficult-to-understand fraction. To convert the money factor to a recognizable interest rate, multiply it by 24. For example, a money factor of .00345 x 24 = 9 percent interest. The money factor is negotiable, and consumers who lease a new car should look for a money factor close to the current interest rate charged for new-car loans.
- Mop and Glow — Definition,
- A term used inside the car industry to refer to add-ons, especially paint sealant, that do little to add to the value of a car, but a great deal to add to the dealer's profit.
- Motor Vehicle Extended Service Contract (MVESC) — Acronym, ➥ A dealer warranty.
- Negative-equity Financing — Definition,
- Financing for new car buyers who owe more on their trade-in than the car is worth.
- Open Market Value (OMV) — Acronym,
- Price an asset should achieve when sold on an open or competitive market.
- Open-end Lease — Definition,
- Sometimes called a finance lease. It usually offers lower payments, but carries a risk for the consumer. Under an open-end lease, the lessee must pay any difference between the residual value of the car as stated in the lease and the fair market value of the car, if lower, at the end of the lease. The lessor pays for the appraisal that sets the value. If the consumer doesn't agree with it, the consumer may pay for a binding, independent appraisal by someone agreed to by both parties.
- Options — Definition,
- Also known as add-ons. These are features added to the car often by the dealer such as a CD stereo, anti-theft system, detailing and undercoating. Some items are purely decorative, known as "mop and glow," and do not add any value to the car.
- Owner Will Finance (OWF) — Acronym,
- Personal Vehicle Tax (PVT) — Acronym, Toronto, Ontario, Canada,
- Power Windows (PW) — Acronym,
- Pre-computed Loan — Definition,
- With a pre-computed loan, the interest owed over the life of the loan is calculated using a standard amortization table. After signing for this type of vehicle loan, the borrower is obligated to pay back principal plus the full amount of interest that will accrue over the entire term of the loan.
- Preferred Auto — Definition,
- Auto insurance for those with better driving records.
- Preparation Charges — Definition,
- An additional charge that dealers try to impose on buyers. It represents pure profit for the dealers, who have already been paid by the manufacturer for the cost of preparing the car for sale.
- Private-Passenger Auto Insurance Policyholder Risk Profile — Definition,
- A system for sorting drivers by their driving records and how likely they are to cause a loss for an insurance company.
- Purchase Option — Definition,
- An agreement where a portion of monthly rent can be credited toward the purchase of a property.
- The portion of a vehicle lease that determines how much a lessee pays the lessor at the end of the lease to buy the vehicle. The price is usually the residual value.
- Rebate — Definition,
- A manufacturer's reduction on the price of a car as an incentive to buyers. Rebates appeal to people with no credit or less-than-perfect credit who cannot qualify for the lowest-rate loan. A rebate may also appeal to first-time buyers who don't have a lot of cash for a down payment or another car to trade in.
- Residual Value — Definition,
- The amount agreed upon to represent the value of the car at the end of a lease.
- Security Deposit (sec, sec dep) — Abbreviation,
- In automobile leases, sometimes called reconditioning reserve. An amount, often the same as one month's payment, the dealer holds to be sure that the car will be returned in good condition. It is to be returned, less fees and damage charges, at the end of the lease.
- Service Contract — Definition,
- Also known as extended warranty. A contract that covers certain car repairs or problems after the manufacturer's or dealer's warranty expires. Extended warranties are sold by car manufacturers, dealers and independent companies. With a new car, the extended warranty usually must be purchased by the end of the first year of ownership.
2.
Gross Market Value -
Honda Canada Finance, Inc
Honda Canada Finance, Inc
