by R.L Hanlon

Created on: December 09, 2007

When it comes to talking about cars, I used to hide behind my other half and hope that he'd know what on earth was being discussed. Through one ear and out the other it was, never registering in the middle for a fraction of a second.

But he was found to be just as useless when understanding finance or the mechanics of a car. So I had to learn a few things myself. Someone had to have some knowledge before we made the decision of buying a new car.

Here is a list of car terms from A-Z that every women should know when they're about to embark on buying a new car, or if like me, terms you need to know if your partner does not.

ABS: Anti Locking Brake System allows the brakes to keep working even if you have your high heels planted on them. These are particularly useful in the event of braking suddenly, as they allow the brakes to keep working.

Acceleration Clause: This is put into place by a moneylender in the event of the buyer failing to meet a repayment. It states that the entire remaining balance is to be paid immediately. Ask about this before you sign papers.

All Wheel Drive: Means that all four wheels to your car have power to them.

Asking Price: Is the desired amount the seller hopes to receive. Always negotiate in and around the asking price.

Collateral: Assets that are used by the buyer to secure a loan. If you default on your repayments, the financier can take these items as payment.

Credit Score: Your buying and lending history. A finance company will always assess your credit score before they hand their money over to you.

Depreciation Value: The amount that an asset loses in value over time.

Destination Charge: This is the cost a dealer may whack onto a final value of a vehicle. It is the cost of transporting the vehicle from the factory to the dealership.

Extended Warranty: Is a contract that covers certain repairs and problems that may need repairing after the dealer warranty expires.

Factory Rebate: This is a discount the dealer may receive from the manufacturer. Knowing this value gives you a great bargaining advantage.

Lessee: Is the person leasing a vehicle, if you are leasing one this means you.

Lessor: The company you are leasing the vehicle from.

Manufacturers Cost: These are costs incurred by the manufacturer when making the vehicle, includes machine use and can incorporate their overheads.

Market Price: This is the general cost your vehicle is worth dependent on its individual supply and demand in society.

Option Package: The manufacturer will put together

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