Evidence of a borrower’s home address that could be in the form of a driver’s license, a recent utility bill or any other legal documentation that displays the borrower’s address.

A clause in the loan agreement that can entitle the lender to collect the balance owing by the buyer sooner. It can also allow the lender to collect the total balance owing immediately.

The document that details the specific terms of the purchase of the vehicle by the buyer from the seller. Also referred to as the Purchase Agreement or the Bill of Sale.

The repayment of a debt with a fixed schedule in regular installments over a specified period of time.

The annual cost of a loan expressed as a percentage that includes the interest and any other costs or fees associated with the loan.

Any property the borrower has that could be used to repay the loan, such as real estate, stocks or vehicles.

A below average credit score that can indicate risk to some lenders. It is still possible to secure a loan with bad credit.

Reference book used to determine the current or future trade-in or resale value of a vehicle for a specific geographic area. Sometimes referred to as Blue Book value, because of the similar Kelley Blue Book also commonly used in the U.S.

Property owned by the borrower supporting the loan that can be seized by the lender in the event of default.

Another individual who assumes equal responsibility with the borrower for a loan.