How much money do finance managers at car dealerships make?

While ZipRecruiter is seeing annual salaries as high as $196,500 and as low as $15,000, the majority of Car Dealership Finance Manager salaries currently range between $44,500 (25th percentile) to $140,000 (75th percentile) with top earners (90th percentile) making $161,000 annually across the United States.

Why do car dealers push financing?

Car dealers want you to finance through them because they often have the opportunity to make a profit by increasing the annual percentage rate (APR) on customers’ auto loans. One application at the dealership means you could receive many options, including manufacturer incentives.

How much do dealers make off extended warranties?

Each warranty plan a dealership sells can add up to $2,000 per purchase to its bottom line. The average dealer generally makes up to half of the selling price of an extended warranty. For example, if you purchase an extended warranty for $2,000, the dealer may make a profit of up to $1,000.

Why do dealerships push financing?

What does a finance manager do at car dealership?

Examples of duties performed by car dealership finance managers include completing applications, pulling credit scores, filling out sales contracts, determining payoff amounts and performing title checks.

Why do car dealers want you to finance through them?

Car dealers want you to finance through them because they often have the opportunity to make a profit by increasing the annual percentage rate (APR) on customers’ auto loans. But they also have relationships with multiple lenders and car manufacturers.

Are dealdealerships’ extended warranties worth it?

Dealerships’ extended warranties can give you a moderate amount of coverage, but you may also find that you enjoy equal benefits by putting the $1,200 somewhere else, such as in an emergency fund for your car. Think carefully before you decide whether this investment is right for you.

What happens when you apply for a car loan at dealership?

When you submit an auto loan application form at a dealership, the dealer sends your application to finance companies it partners with, typically large lenders and local credit unions. The lenders send responses back to the dealership where a finance manager views them and presents an offer to you.

What skills do you need to be an auto dealership finance manager?

In addition, auto dealership finance managers need to have excellent decision-making skills so they can decide which loan options will be most lucrative for the dealership in each case and which approaches will work best with each individual client.