Every car buyer wants to get the best financing rates possible. With banks, credit unions, and financing companies all competing for loan business, it can difficult to know what lender will provide the best loan terms. If you are searching for car loans, you might be surprised to find out that often the dealership offers the best option for automobile financing. Here are four advantages of getting a loan from the car dealership.
Dealerships frequently offer promotional deals that other lending institutions don’t. If you can take advantage of one of these programs, you can save a tremendous amount over the life of your car loan. For example, a dealership might offer zero percent interest for the first year. That kind of deal can save you thousands of dollars.
Most dealerships sell many cars each year. Most of those cars require financing. Because they are in the business of selling financed cars, most dealerships now exactly the kind of loan terms they can offer and accept. This can help you get a better deal, even if you have shaky credit.
If you secure a car loan at the dealership and later decide that you can obtain better financing elsewhere, you have the option to refinance. That’s because dealerships do not bind you to sticking with their loan. Many buyers find this flexibility to be a major draw when purchasing a vehicle.
Financing your vehicle at the dealership offers a tremendous amount of convenience for busy buyers. With separate financing, you might have to visit several lenders and complete many different applications. When you work with the dealer, you can take care of financing during the sales process.
When shopping for car loans, every buyer wants to get the best loan terms possible. Financing at the dealership offers many benefits for most buyers.