When buying a car from a dealer is it possible to pay back monthly?

Question

Ive heard its possible to buy a car and just pay monthly, obviously paying back more money due to interest etc but i wondered if they go off how much YOU earn or whether its a fixed rate.

Ive been lookin at a little economical smart car.

Im from the UK

Answer 1

I'm not sure exactly how it works in the UK but here in the US, very few car dealers handle their own financing.

No new-car dealers do it and only some (buy-here-pay-here) used-car dealers do it.

Therefore, it is almost always necessary to get a loan from a bank or finance company. Many dealers, including all new-car dealers, work with finance companies and help arrange loans for customers -- and make a little extra profit in the process.

Loan payments are based on the price of the car, the number of months you want for the loan, the interest rate, and how much down payment you can make. Getting approved for such a loan is based on your income, credit history, and debts.