Services
PriceProtect™
DriveShield™
GarageGuard™
Insurance
Car Insurance
Compare Car Insurance with Jerry
Jerry’s Expert Advice
Car Insurance Estimates
Home & Renters Insurance
Home Insurance
Renters Insurance
Loans
Car Loan
Compare Car Loans with Jerry
Jerry's Expert Advice
Car Loan Guides
Repairs
Car Repair Estimates
Repair Estimates for Popular Services
Advice
Read Car Content
Browse Jerry Car Advice
Check Out Expert Car QnA
Learn About How We Create Content
Jerry Data & Research
Recent Studies
Comprehensive Data Reports
Reviews
About
FAQ
MenuIcon
BACK

Do car dealers get kickbacks from lenders on car loans?

Every time I've purchased a car, the salesperson is always pushy about financing. Do car dealers get kickbacks from lenders?

avatar
Eric Schad · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
“Unless the dealership has its own financing department, most dealerships get a kickback, or commission, from the lending company for originating the loan.
This amount varies depending on the total amount of the
car loan
 but is often a few hundred bucks.
Because of this kickback, you may want to cut the dealer out and go straight to the source. Just as you would with
car insurance
, you can shop around for car loan rates. That’s the best way to cut fees and get the most bang for your buck.
It’s recommended that you also shop for car insurance before signing on your new car. Lenders will require insurance before you can drive your new car, and they often ask for full coverage,
Full coverage can be pricey, but you can save money by comparing rates.
Jerry
 does all the hard work for you, pulling quotes from the top 50 companies and delivering the best deals to your phone in minutes.”
MORE:
Should You Get a 72 Month Car Loan?
Car LoanFinanceCar FinancingCar DealersCar Buyingbuying
View full answer 
Jerry user testimonial avatar
rating primary
“My experience with Jerry has been absolutely incredible. It took my car insurance from about $400/month to about $80. The entire experience is seamless.” - Gregory R.
Lower my car insurance too
WHY YOU CAN TRUST JERRY
Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.

Join 4M+ members in lowering their car insurance

Find insurance savings

You Might Also Be Interested

card cover

How Car Dealerships Make Money from Financing

Car dealerships often offer financing, which simplifies the car buying process for you. But it also nets the dealership a nice little profit. Here's why that matters.
avatar
Elan Mcafee
card cover

What is an In-House Financing Dealership?

Car dealerships that offer in-house financing can help people with low credit get an auto loan. Learn the pros and cons of in-house financing before you sign.
avatar
Amber Reed
card cover

How Long Does it Take to Get Approved for a Car Loan from a Dealership?

Going to the dealership might not be a one day trip, especially if you're planning on applying for a loan. But there are things you can do to speed it up.
avatar
Marisol Pereira

Read Advice From Car Experts At Jerry

card cover

Bristol West Full Coverage Insurance

Bristol West provides full coverage including liability insurance, collision coverage, comprehensive coverage, and more.
avatar
Brittni Brinn
card cover

Chrysler Transmission Repair and Replacement Cost

Typically, Chrysler transmission repairs cost somewhere between $1,800 and $9,300—click here to learn more.
avatar
Andrew Biro
card cover

Maine Motorcycle Helmet Laws

Riders 18 or younger, using a permit, or within one year of passing their exam must wear a helmet on public roadways.
avatar
Max Werner

What Others Are Asking

Is it OK to charge an electric car when the battery is half full?
I’m thinking about buying my first electric car, but I have some concerns about range and how often I’ll need to charge it. Is it okay to charge an electric car when the battery is half full?
avatar
Allison Stone
How do I fix blind-spot monitor problems on a Toyota RAV4?
My Toyota RAV4 keeps displaying an “error” message when I use my blind-spot monitor. It’s a bit frustrating, and I would hate to take it to a mechanic and spend tons of money if I don’t need to do so. How can I fix the blind spot monitor on my Toyota RAV4?
avatar
Kevin Martinez
How much does it cost to paint a Toyota Camry?
My 2011 Camry has some clear coat damage from being in the harsh Arizona climate all these years. How much does it cost to paint a Toyota Camry to keep it looking new?
avatar
Matthew Macgugan
Browse All Questions

Browse More Content

Car Repair Resources

Insurance for Your Car

Insurance in Your State

    Insurance In Your City

    Easiest way to compare and buy car insurance

    √
    No long forms
    √
    No spam or unwanted phone calls
    √
    Quotes from top insurance companies
    Find insurance savings
    Car Insurance by Make
    Audi
    BMW
    Dodge
    Ford
    GMC
    Honda
    Hyundai
    Jeep
    Kia
    Lexus
    Mercedes-Benz
    Mitsubishi
    Subaru
    Tesla
    Toyota
    View all
    Car Insurance by Model
    Chevrolet Silverado
    Chevrolet Malibu
    Ford Escape
    GMC Sierra
    Honda Accord
    Honda Civic
    Hyundai Tucson
    Jeep Cherokee
    Jeep Wrangler
    Kia Forte
    Mazda 3
    Nissan Altima
    Subaru Outback
    Subaru Crosstrek
    Toyota Camry
    Toyota Corolla
    Toyota Tacoma
    Toyota Highlander
    Toyota Rav4
    Volkswagen Jetta
    View all
    Car Insurance by State
    AL
    AZ
    AR
    CA
    CO
    CT
    DE
    FL
    GA
    ID
    IL
    IN
    IA
    KS
    KY
    LA
    ME
    MD
    MA
    MI
    MN
    MS
    MO
    MT
    NE
    NV
    NH
    NJ
    NM
    NY
    NC
    ND
    OH
    OK
    OR
    PA
    RI
    SC
    SD
    TN
    TX
    UT
    VT
    VA
    WA
    WV
    WI
    WY
    Car Insurance by City
    Austin, TX
    Boston, MA
    Charlotte, NC
    Chicago, IL
    Columbus, OH
    Dallas, TX
    Denver, CO
    Houston, TX
    Indianapolis, IN
    Jacksonville, FL
    Las Vegas, NV
    Los Angeles, CA
    Nashville, TN
    New York, NY
    Philadelphia, PA
    Phoenix, AZ
    Portland, OR
    San Antonio, TX
    San Francisco, CA
    Seattle, WA
    View all
    Car Loan by Make
    Audi
    BMW
    Chevrolet
    Ford
    GMC
    Honda
    Hyundai
    Kia
    Lexus
    Nissan
    Mercedes-Benz
    Subaru
    Tesla
    Toyota
    View all
    Car Insurance by Company
    AAA
    Allstate
    Aspire Advantage
    Assurance America
    Bristol West
    Commonwealth
    Dairyland
    Encompass
    Infinity
    Kemper
    Mapfre
    Mercury
    National General
    Nationwide
    Plymouth Rock
    Progressive
    Safeco
    State Auto
    Travelers
    Car Loan by State
    AL
    AZ
    AR
    CA
    CO
    CT
    DE
    FL
    GA
    ID
    IL
    IN
    IA
    KS
    KY
    LA
    ME
    MD
    MA
    MI
    MN
    MS
    MO
    MT
    NE
    NV
    NH
    NJ
    NM
    NY
    NC
    ND
    OH
    OK
    OR
    PA
    RI
    SC
    SD
    TN
    TX
    UT
    VT
    VA
    WA
    WV
    WI
    WY
    Car Repair by Service
    AC Compressor Replacement Cost
    Battery Replacement Cost
    Fuel Injector Replacement Cost
    Fuel Pump Replacement Cost
    Ignition Coil Replacement Cost
    Oil Change Cost
    Oil Pan Replacement Cost
    Power Steering Fluid Service Cost
    Rotate Tires Cost
    Spark Plugs Replacement Cost
    Timing Belt Replacement Cost
    Valve Cover Gasket Replacement Cost
    Water Pump Replacement Cost
    Wheel Bearings Replacement Cost
    View all