Final answer:
Increasing the size of your down payment impacts your auto loan by reducing the principal and total interest, and potentially lowering the monthly payment.
Step-by-step explanation:
Increasing the size of your down payment impacts your auto loan in several ways. First, it will result in a lower principal amount. This is because the down payment reduces the total amount of money you need to borrow. Second, a larger down payment will lead to less total interest paid over the life of the loan.
This is because there is less principal to accrue interest on. Lastly, a larger down payment can result in a lower monthly payment. This is because the loan amount is smaller, so the monthly interest and principal payments will be reduced.