http://www.bankrate.com/brm/news/auto/20010827a.asp
This is one rebate auto shoppers should avoid.
Some auto lenders still use the archaic and costly "Rule of 78s" formula to
calculate a rebate of finance charges when a customer pays off a loan early.
This rebate is actually a sneaky prepayment penalty.
"The Rule of 78s is a historical anachronism," says David Rubinstein, vice
president of the Virginia Citizens Consumer Council. "It's simply another way
of padding a loan."
