Bank or Dealership: What's the Best Place to Get Auto Financing?

Where to Go Car Loan Shopping

When car loan shopping, you’ll have two main choices for your auto loan needs:

• A bank
• The dealership where you’re purchasing your vehicle

Both of these options offer different sets of benefits for Mason shoppers.

Auto Financing With a Dealership

If you’re not sure where to get a car loan, the dealership where you purchase your vehicle is a great place to start. The benefits of financing at a car dealership include:

• Dealerships have multiple lenders that are competing for your business, which can lead to a better term or rate from one vs. another.
• You may be able to take advantage of financing incentives.
• There’s the possibility of negotiating your down payment when financing with the dealership.
• You only need to fill out one form to get multiple options vs. needing to apply over and over again when shopping banks on your own.
• Some dealerships work with buyers with low, no, or bad credit.
• Dealers can help you determine if leasing vs. buying is right for you.
• Dealers can help with questions like what is a lease buyout and how does trading in a financed car work or about car insurance coverage .

Auto Loans From Your Bank

Another option when car loan shopping is to try your bank. We still recommend speaking with a dealer, as they may be able to secure a better rate, thanks to their network of lenders. Additionally, you may have a harder time getting approval from a bank if you don’t have great credit. Despite this, there are some benefits, including:

• There are often set interest rates.
• A pre-existing relationship with your bank could benefit you.
• You may be able to set a flexible payment schedule.

Explore Your Financing Options at Mercedes-Benz of West Chester

To discuss your financing options further, get in touch with the finance team at Mercedes-Benz of West Chester! We can answer your questions, or work to help you get pre-approved in West Chester!