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Interstate car deal won't pose problems

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Dear Terry,
I am looking to purchase an Acura RSX Type-S, and it is an out-of-state purchase. I'm currently located in Connecticut, but the deal will take place in New Jersey.

I am completely clueless about interstate private-party auto loans. Do they differ from other auto loans? Or will I need to apply for a personal loan?
-- Wil

Dear Wil,
There shouldn't be any difference between this sort of transaction and one with the dealer down the street.

I recently bought a car from a Massachusetts dealer even though I live in Florida. I made the deal, got a check from my bank for the amount I was going to finance, and gave it to the dealer when I picked the car up.

The dealer gave me temporary tags to drive home on and when I got back I went to the department of motor vehicles, paid my state taxes and got Florida tags.

Here are this week's reader questions:
  • Car lots crammed with three model years
  • I co-signed -- how can I get rid of the loan?
  • Can I buy my car with a credit card?
  • How do interstate auto loans work?

If you have a question for Terry, e-mail him at Driving for Dollars. Save money on your car -- sign up for Bankrate's new weekend Car & Money newsletter.

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