You go into a car dealership to buy a car. You negotiate a price of $20,000 for the car. The dealer will lend you 75% of the car purchase amount; they offer you a payment plan of $318.71 per month. Your research shows car loans are currently around 5%. Which of the following best represents your reaction to the offer?

Question 7 options:

	it is a bad deal because the rate is slightly higher than 5%
	need more information to determine whether it is a good deal.
	it is a good deal because the interest rate offered is less than 5%
	it is a great deal because the interest rate is less than 1%! Take it before they change their mind!
	they are gauging me at 10% annual interest! Get the loan from another provider.