Inquiring about an Auto Loan

Yuri Mirov:Hello,I would like to ask you for some information  about your auto loan policy.        


Bank clerk:Are you our bank's customer?

Y.M.:Yes,I'm(shows his banking card).How much could I borrow? 
     
Clerk:You can borrow up to 25.000   dollars.                            

Y.M.:I need only 10.000 dollars.Is there a down payment?           

Clerk:No down payment is required.   

Y.M.:What is the interest rate?      

Clerk:If you keep over 20.000  dollars in our bank,the interest  rate is 10.9%.  
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Y.M.:I don't keep that much on my account.

Clerk:If you go under 20.000 dollars the interest rate for an auto loan is 11.4%.

Y.M.:What about the term of an auto loan?

Clerk:The bank lends the money for five years.I guess you are going to  buy a new car?                     

Y.M.:Yes,I am .But why are you asking that question?                   

Clerk:If a customer applies for a loan for buying a used car,he has to pay  a higher interest rate -13%.Such a  loan has to be paid up in 48 months.     

Y.M.:I see.As I told you,I need  10.000 dollars for buying a new car. Could you please tell me what's the  total I would have to pay up? 

        
Clerk:Just a moment.If you borrow  10.000 dollars,your total payment  amounts to 13.753 dollars.Life insurance is included. 
                  
Y.M.:Is life insurance mandatory?

Clerk:Yes,it is.
                      
Y.M.:And how much would my monthly payment be in case of a 10.000 dollar loan?

Clerk:229 dollars.                    

Y.M.:Are my interest rate and  monthly payment fixed for the  full term of my loan?                   

Clerk:Yes,they are .So you don't  have to worry about fluctuating  interest rates.                          

Y.M.:One more question.Can I pre-pay my loan at any time without penalty?                         

Clerk:Absolutely.                       

Y.M.:Thank you very much for this information.Could I have  a loan application for getting familiar with it?

Clerk:Of course(passes an application  to Y.M.).

Y.M.:Thanks.