Should I Finance my New Car Through the Dealer? Jul 29th

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Should I Finance my New Car Through the Dealer?
When you’re in the market for a new car, you might not have cash to pay upfront. If you’re like most Canadians, you accept financing from the dealership. But is this the best option? As it turns out, a bank or online loan provider might give you better rates — saving you money down the road.
Canadian Preference for Dealer Financing
Global News reported in May that two-thirds of Canadians applied for financing at the dealership when they bought a new or used car. That’s a high number, especially when you also consider 70 percent of car buyers only look at options from one lender before agreeing to a loan.
Why are so many willing to get financing from the dealership? Promotions and discounts — like those “zero percent” rates one so often hears about. But those good deals often come with a catch. Zero percent interest might only be available to those with excellent credit. Sometimes, the financing comes with a condition that you pay off the car with one lump sum payment after a certain period of time…

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