Once the loan is approved, the lender provides the funds to purchase the vehicle. In exchange, the car is used as collateral, meaning the lender can repossess the vehicle if the borrower defaults on the loan. This security allows lenders to offer lower interest rates compared to unsecured loans, as the risk is reduced due to the collateral involved. https://www.reddit.com/r/financeonloans/
Financeonloans
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