Why Finance Through Phelps
Financing through a dealership has its advantages.
Financing through your bank or credit union is one way to go when purchasing a new or pre-owned vehicle, but there are advantages to financing through a dealership.
Dealerships offer convenience.
Convenience is one benefit of dealership financing. A finance manager at a dealership will submit your information to lenders on your behalf to find the best rate and terms for you. The dealership staff can help you can get everything done in one visit — test drive the car, evaluate your trade (if you have one), fill out the paperwork, get the loan approved, and drive off in your new car, all in the space of a few hours.
Trading in a vehicle offers a tax advantage.
Trading in a vehicle at a dealership can also save you some money on sales tax, versus selling privately. That's because in most areas you receive a sales tax credit on the difference in price between your new vehicle and your trade.
Dealerships can offer longer loan terms.
Dealerships can offer special deals that you may not get through other lenders, like extended loan terms. A longer loan term of, for example, 72 months, as opposed to a shorter 48-month or 60-month loan, means you’re paying the full amount of the loan over a longer period of time, so your payments can be lowered to fit your budget.
Dealerships can offer incentives on new vehicle financing.
Financing a new vehicle through a dealership can offer incentives such as cash back, lower interest rates, and even trade assistance cash when you use their subsidiary lender. These incentives tend to change each month and based on buyer prequalification, so well qualified buyers can see a real savings on new vehicle purchases.
Our finance managers are ready and willing to answer all your questions and find the best finance option for you.
Financing through your bank or credit union is one way to go when purchasing a new or pre-owned vehicle, but there are advantages to financing through a dealership.