Should You Finance Your Vehicle at the Dealership or a Bank?

For many car shoppers, finding their dream car is just half the journey — they still need to find the right financing.

That can introduce a slew of questions: How will this fit into their monthly budget? Would they get a better deal at a bank or a credit union? How do they even know what a good deal is? Is their credit score holding them back?

If these sound familiar, relax. We sat down with Mitch Evens and Nate Stallings, both finance managers at St. Cloud Toyota, who shared the advantages of financing with a dealership and how they approach their jobs.

1) The dealership has access to a broad range of lenders. At St. Cloud Toyota, Mitch and Nate work with local lenders as well as national banks so often they can find opportunities that simply wouldn't be available at the buyer's local bank. Since they have access to more than 25 institutions, they are passing that additional flexibility onto their clients.

2) They want you to feel good about your purchase. They can explain why paying cash might not be the best option for everyone (if it is an option). They are an extension of the sales team, so they typically are familiar with customers' needs by the time they approach their desks.

3) They are happy to work with people with low credit or negative equity (IE, upside down on their current vehicle). Mitch and Nate say often people think their financial situation is worse than it is, and they are happy to use all their experience to find a bank willing to work with them.

For example, they recently helped a client who had a limited downpayment and worked full-time as a CNA. She had left another dealership empty-handed but found a Camry at St. Cloud Toyota that she liked. She needed a loan that worked for her budget, and Mitch and Nate were able to leverage their existing relationships with so many banks to find one willing to work with the customer's needs. She left with the car she wanted — another satisfied customer.

If you're in the market for a vehicle (or will be soon!), Mitch, Nate, and the rest of the St. Cloud Toyota team is happy to help. You can start your financing application online here, or you can simply shop by 418 2nd St. S., Waite Park.