Auto Loans
QDo I Have To Use The Full Amount Of The Loan For My Auto?
AYes. Most lenders will loan only what they can secure by the vehicle itself. Usually, any accessories being added to the vehicle that increase its value will also be financed at the same time as the purchase. Generally speaking, traditional auto lenders will not finance amounts in excess of the value of the car or for a use outside of the purchase of the vehicle (including accessories) . This is different than a personal loan collateralized by a vehicle you already own free of any preexisting lien. When a vehicle is being used as collateral for a personal loan, you can generally use any amount between the minimum and maximum approved for whatever purpose you choose. If you need more than the maximum approved, you can possibly reapply for a higher amount with your lender.