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Loan

Car Loan

Also known as: Auto Loan, Vehicle Loan, Motor Vehicle Financing

Secured loan for purchasing vehicles where the vehicle serves as collateral for the borrowed amount.

Detailed Explanation

Car loans are secured financing options for purchasing new or used vehicles. The vehicle itself serves as collateral, allowing lenders to offer lower interest rates compared to personal loans. Car loans typically have tenure of 1-7 years with interest rates ranging from 7-15% depending on credit profile, down payment, and vehicle type.