What does "financing costs" mean?

What does "financing costs" mean?

James Bell (Publisher, Auto Reviewer) gives expert video advice on: What does "balloon payment" mean?; What does "base value" mean"?; What does "buy here, pay here" financing mean? and more...

With regards to financing your car, “financing costs” are very simply the amount of money that you owe above and beyond the actual value of the property that you're taking on. So, financing costs would be any additional interest rates, additional fees, and additional points. These are all the things that add up to the cost of taking on that money, since you didn't have it in your savings account to pay for the product up-front.