Whats a tag payment on a car loan?

This is also known as a balloon payment.

A dealer may advertise """36 low monthly payments," but there will be a 37th payment so bit it will make your eyes pop out.

Then, you will either have to come up with a ton of cash, or refinance the loan.

Frankly, tis practice sucks , and is not used by reputable dealers.

So, if you at buying a car and financing it, beware...........

Tag payment is the cost for the registration and license plate for the car.

A "tag" fee is usually the official fee in your state/county for getting the registration and license tag for your new car. The dealer submits the paperwork in your behalf so that you don't have to visit your DMV office. He collects the fee from you and forwards it your DMV. You'll then get your registration and tag in the mail in a couple of weeks.

Dealer's often make up names for extra fees to make them sound official. Make sure the "tag" fee that you mentioned is the real DMV fee mentioned above.

SOME people refer to license plates as "tags".