What is a Down Payment? Here Are Some Points You Need to Know

Hero Fincorp30 Apr, 2022Business

Down payment refers to an upfront payment that you make to acquire a vehicle, consumer durable goods, or real estate property. You can make a down payment in cash, cheque, or using another financing product such as a credit card or funds from a personal loan. The amount of the down payment varies depending on the loan type and the borrower's profile. The down payment might be anywhere from 5% to 25% of the purchase price.