Posted on July 23, 2016
Pros and Cons of Independent and Franchise Car Dealerships
Drivers in Toronto may see great-looking used cars at both independent and franchise dealership lots, and wonder what the pros and cons of buying a used vehicle at each are. You can spot an independent used car dealer by the fact that they won’t have a make like “Ford”, “Chrysler” or “Toyota” in their name but will usually just be called what the owner chooses. Here’s a rundown of some of the basic differences in buying from each:
Benefits of Buying from an Independent Dealer
Independent Used car dealers usually have no new cars and have a large supply of used cars. Since their used car inventory is often older than what you find in a franchise dealership, you can be pretty sure that you will find an affordable car there. This is a huge benefit of purchasing from an independent dealership. Another benefit is that you can repair your credit through an independent car dealer, since it’s usually easy to get a loan from them.
Risks of Buying from an Independent Dealer
On the risky side, independent dealerships have their own certification standards with little or no monitoring of them. Additionally, since independent dealers often have in-house financing that caters to customers with poor credit or no credit and are high risk, the interest rates are usually higher. Additionally, it’s sometimes hard to really know the condition of the car you want to buy. Independent dealerships usually don’t have in-house service departments.
Benefits of Buying from a Franchise Dealer
The advantage of purchasing from a franchise car dealer is that they follow car manufacturer’s guidelines. The car mechanics at a franchise dealership are certified, since they have to go through an intensive training program to qualify for manufacturer’s standards. This means you are guaranteed that your used car service is high-quality.
Used vehicles at a franchise dealership are also certified through a standardized program that ensures the vehicle’s quality. The other advantage is that franchise dealerships usually offer low interest rates when they give you a car loan.
Cons of Buying from a Franchise Dealer
The main drawback of purchasing your vehicle from a franchise dealership is just that there may not be the large selection of vehicles that an independent dealership might have. However, Ontario Chrysler always carries over 100 high quality used cars in stock at all time including: used Honda, Used Toyota, and Used Mazda vehicles with very low mileage.