How does the purchase of a car with a loan affect the buyer's overall budget? a. The payments on the loan do not change the buyer's overall budget due to the emergency fund and savings.

b. The payments on the loan become a new expense in the budget, requiring other adjustments such as reduced spending or decreased savings.

c. The payments on the loan free additional money in the budget since the buyer is no longer paying for repairs on their old vehicle, thus freeing up money for other areas of the budget such as savings or entertainment,​