3. The planned buying process - Part 2

Let's Play ... Cash for Questions!

Imagine that you are a contestant on a popular television quiz show, Cash for Questions. You are thrilled that the category is "Buying a Car" because you just learned about it in your personal finance class.

There are five questions in this category, and the host, Simon Simoleons, will give you the answer to each question in each of the following boxes. Remember, you must phrase your response in the form of a question and select the correct entry. Good Luck!

Disclaimer: You won't actually receive any money if you answer the questions correctly.

Question 1: $100

The name given to the situation in which a car owner owes more on his or her car than the car is worth.

What is the ?

Question 2: $200

A prepared buyer will obtain this oral or written commitment from a lender stating the amount and terms of the credit it is willing to lend.

What is a ?

Question 3: $300

This type of warranty offers less protection than a full warranty, but more than is available when a product is sold as is.

What is a ?

Question 4: $400

This type of insurance coverage pays the difference between the actual cash value of a vehicle and the current outstanding balance on the vehicle's loan or lease.

What is ?

Question 5: $500

A salesperson uses this sales tactic when he or she quotes an artificially high price on a potential buyer's trade-in vehicle.

What is ?

You are now in the final round of the game. The category for this round is "Oh, What Have I Done?" Select the correct option from those provided to complete the question.

Final Question: $1,000

This myth, which has no legal standing, suggests that a buyer has the legal right to change his or her mind and return a vehicleparticularly if completed within three days of signing the purchase contract.

What iscooling-off ?