Is financing a car through a bank always cheaper than through a dealer?

My father told me that I should never finance through the dealer, as they add fees and charges that banks don't. However, I've heard conflicting stories. Is financing through a bank always cheaper than the dealer?

“No, financing through a bank or credit union isn’t always cheaper than going through the dealer for a car loan.
However, dealers often have the opportunity to add rebates, incentives, and promotions to their lending. At certain times, they may be able to offer better rates than other lenders.
At other times, a bank or credit union might have the better offer.
Either way, the key is to shop around to find the best rate. Don’t forget that you’ll also need to budget for car insurance, as most loans require you to have full coverage.
Full coverage can be pricey, especially if you use the lender’s insurance, 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. They’ll even do the startup paperwork for you.”
Eric Schad
Answered on Aug 10, 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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