Home | About | Contact
Divider Auto Loans Divider Mortgage Loans Divider Debt Consolidation Divider Credit Cards Divider Credit Repair Divider Car Insurance Divider Health Insurance Divider Life Insurance

Considerations to Make About Dealership Financing

Considerations to Make About Dealership Financing

Are you looking to finance that great new car that you have always wanted? Well, there are plenty of options for you to take advantage of, and you need to find the one that works out for you the best. Have you thought about going through with dealership financing? You might not even know what dealership financing is or how it works. Well, it is important to get all the information. The following are some pros and some cons on dealership financing. Take some time and read over these aspects and see if you like anything. This is an option that has worked out great for many people, especially when they did their research.

What is Car Dealership Financing?

Basically, when you are talking about car dealerships financing you mean that you are going to buy the automobile with the dealer and pay for the vehicle with the same dealer. You will arrange a loan in the dealership, and it will be for terms that both you and the dealer agree on. You will then make sure you return to the dealer to make your payments, whenever your payment schedule is determined. You must enter into this process having already compared prices and borrowing options. This way you know what you can expect and what you think you should be offered. If you showed up not knowing a single thing you could be taken advantage of quickly.


Many people are happy with the ability to buy and pay for the car at the same place because it offers convenience. You do not have to get many companies involved, and it helps you manage borrowing easier. Dealerships also will be able to offer you deals on your car if you finance with them in house. This is something that other auto loan companies might not be able to do. Plus, car dealers can decide who they want to take on as borrowers. Some auto loan companies might be very strict with who they give financing out to. If you have poor credit, you will be able to get financing easier from a dealership. There is also a flexibility that you can get with your payments, as well as your overall automobile decision making. Finally, good behavior when dealing with dealership payments can be reported to the credit bureaus. That is another positive.


One of the main cons that people come across is only having this one option. If you walk into a vehicle dealership you have less wiggle room. Sure, they can be flexible, but that will be on their own terms. You can compare rates before, but the key is to make sure that the dealership listens. You also might face dealer fees that you would not have faced going through an auto loan dealer. Car dealerships might treat all their financing the same way, and they might not even make it unique to the car. You should want to avoid being treated like one of the pack, which can be the case to some dealers. These cons can be avoided if you take your time and really make sure that you read over the details of your financing.

You may also be interested in