Can you get financing through a dealer to get the rebates and then immediately refinance through another lender?

I've heard horror stories about financing through a dealer, but my local Kia dealership has great rebates and bonus cash. I can only get these incentives if I finance through them. That said, the rate they're offering me is a bit high (4.99%) compared to my local credit union (2.99%). Can I finance through the dealer to get the incentives and then immediately go to another lender?

Answer
“Before you march on over to your credit union, read the fine print in the rebates and incentives of your car loan contract.
Some may have stipulations that you have to pay back the rebates and bonus cash to the dealer if you refinance too soon (typically about 90 days). However, some of these contracts have no such stipulations, and you’re free to refinance as you see fit.
There is no law saying that you have to wait a certain amount of time to refinance, so don’t stress about it too much. Read the fine print, and you should be fine.
Don’t forget that when you buy a new vehicle, you will need proper coverage. If you haven’t already found insurance, use the free Jerry app to help you find the best deal. Jerry compares rates from the top 50 companies in under a minute, delivering the best deals to your phone.”
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Eric Schad
Answered on Jul 30, 2021
Eric Schad has been a freelance writer for nearly a decade, as well as an SEO specialist and editor for the past five years. Before getting behind the keyboard, he worked in the finance and music industries (the perfect combo). With a wide array of professional and personal experiences, he’s developed a knack for tone and branding across many different verticals. Away from the computer, Schad is a blues guitar shredder, crazed sports fan, and always down for a spontaneous trip anywhere around the globe.
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