Obtaining Rebates On Auto Finance

Nowadays, it is tough for a dealership or a lender out there. The economy is bad which means most of their auto finance applicants aren’t coming; the credit scores are depleted which means that the applicants are going for subprime lending and the others which come are preferring internet lending over their auto finance. Therefore, in order to ensure that good money is still made by selling cars and providing financing, the dealers and lending companies haves started coming up with high discounts and offers to attract more consumers and make good money off the auto finance. One of these popular offers is a rebate.

One can safely assume that it would be a good offer to distract the auto finance borrowers from the huge lending options and the ability to get the finances online. A rebate is a reduction in the loan amount which is usually provided on the principal or on the down payment of the loan. This means that if a borrower was financing a loan for 100 dollars and the down payment was ten dollars, the dealership provides a rebate of five to eight dollars from the loan to attract the consumers to get auto finance and car from their facilities. The thing which works here is the fact that the borrower is saving this money for free. He/she just has to provide the depleted down payment and go home with his/her car.

Aside from the savings, there is another important factor and that is the interest money saved. As the down payment is technically provided, the borrower is eligible for auto finance at the best interest possible. Moreover, he/she is not only getting a reduction on the car price, he/she is saving money on the interest that was going to be charged on that car price. All in all, a rebate is a very good offer on auto finance.

Tags:

Leave a Reply

You must be logged in to post a comment.