Based on your financial expertise, provide your response or viewpoint on the given financial question or topic. The response format is open.

Why do new car loans, used car loans, and refinanced loans have different rates and terms?
According to AutoTrader, there are many different reasons, but here are three:  New cars have a better resale value and it's easier to predict its resale value in case you default on the loan and they repossess the car. Lenders that are through auto makers can use different incentives for getting you to buy a new car. Used car financing is usually through other banks. People with higher credit scores tend to buy new cars, and therefore can get a lower rate because of their higher credit score.