What Select Auto Group Is
Select Auto Group is a used-car dealership chain with locations across multiple states. They buy, recondition, and sell used vehicles to individual buyers, and they also offer in-house financing — meaning they lend money directly to customers rather than requiring you to bring a bank loan to the lot.
The company operates as a traditional dealership: you browse inventory on their lot or website, negotiate a price, and complete a purchase. Because they offer their own financing, the transaction can move faster than at dealerships that require you to find a loan elsewhere first. However, this also means the interest rates and loan terms come directly from Select Auto Group, not from a bank or credit union you choose yourself.
Understanding how their financing works, what their inventory looks like, and what happens after you drive off the lot will help you decide whether buying from them makes sense for your situation.
Key Takeaways
- Select Auto Group finances purchases in-house, so you can complete the entire transaction at the dealership without a pre-arranged bank loan.
- Their interest rates and loan terms depend on your credit history and income, and rates vary by location and the vehicle you choose.
- You should compare their financing offers against rates from your own bank or credit union before agreeing to their loan.
- All used vehicles carry some risk of mechanical problems, so review the warranty terms and consider a pre-purchase inspection by an independent mechanic.
How In-House Financing Works at Select Auto Group
When you finance through Select Auto Group instead of bringing your own loan, the dealership becomes your lender. You sign a contract with them, make monthly payments to them, and they hold the title to the vehicle until the loan is paid off. This process is faster than waiting for bank approval because the dealership can make the lending decision on the spot.
The interest rate you receive depends on your credit score, income, employment history, and the down payment you bring. Customers with stronger credit histories typically receive lower rates. Select Auto Group will run a credit check and ask for proof of income — usually a recent pay stub or tax return — before offering you a rate. Rates vary by location, so two customers in different states may receive different offers on the same vehicle.
You will also need to provide a down payment, which reduces the amount you borrow and lowers your monthly payment. Select Auto Group's minimum down payment varies by location and vehicle price, but typically ranges from a few hundred dollars to several thousand. The larger your down payment, the lower your interest rate is likely to be.
Comparing Select Auto Group Rates to Other Lenders
Before you accept financing from Select Auto Group, contact your bank or credit union and ask what interest rate they would offer you for a used-car loan. Many banks and credit unions publish their rates online or will give you a quote over the phone. This number gives you a baseline to compare against Select Auto Group's offer.
If Select Auto Group's rate is significantly higher than what your bank offers, you have the option to decline their financing and bring your own loan to the dealership instead. Some dealerships will work with outside lenders; others prefer to finance in-house. Ask Select Auto Group directly whether they accept outside financing before you start the negotiation process.
Even if you plan to finance through Select Auto Group, knowing what your bank would charge you prevents you from accepting an unfavorable rate without realizing it. The difference between a 6% rate and a 12% rate on a $15,000 loan adds hundreds of dollars to what you ultimately pay.
What to Check Before You Buy
Used vehicles from any dealership, including Select Auto Group, may have hidden mechanical problems that only show up after you own them. Before you hand over money, take these steps to protect yourself.
First, ask Select Auto Group what warranty they offer on the vehicle. Some dealerships include a short warranty (often 30 to 90 days) on powertrain components like the engine and transmission. Read the warranty document carefully to understand what is and is not covered, and whether the warranty transfers if you sell the car later.
Second, hire an independent mechanic — not one recommended by the dealership — to inspect the vehicle before you buy. This inspection typically costs $100 to $200 and can reveal problems the dealership may not have disclosed. Many mechanics will give you a written report detailing what they found. If the inspection uncovers serious issues, you can use that report to negotiate a lower price or walk away entirely.
Third, run a vehicle history report using services like Carfax or AutoCheck. These reports show whether the car has been in accidents, had title problems, or been recalled by the manufacturer. You can order these reports yourself for $20 to $30, or ask the dealership to provide them — many do as part of their sales process.
Understanding the Loan Contract and Payment Terms
Once you and Select Auto Group agree on a price and interest rate, you will sign a loan contract. This document spells out your monthly payment amount, the total number of months you have to repay the loan, the interest rate, and what happens if you miss a payment. Read this contract carefully before signing, and ask questions about anything you do not understand.
Typical loan terms at Select Auto Group range from 36 to 72 months (3 to 6 years). A longer loan term means a lower monthly payment but higher total interest paid over the life of the loan. A shorter term means higher monthly payments but less interest overall. Choose a term you can actually afford — missing payments damages your credit and can result in the dealership repossessing the vehicle.
The contract will also specify what happens if you want to pay off the loan early. Some lenders charge a prepayment penalty; others do not. If you think you might pay off the loan ahead of schedule, ask whether Select Auto Group charges a penalty before you sign.
What Happens After You Drive Off the Lot
Your relationship with Select Auto Group continues as long as you owe them money. You will make monthly payments, either online, by mail, or in person at a dealership location. Keep records of every payment you make.
If you experience mechanical problems with the vehicle, contact Select Auto Group to discuss whether the issue is covered under their warranty. If it is not covered and you believe the dealership sold you a vehicle with a known defect, you may have legal options depending on your state's used-car lemon laws. These laws vary significantly by state, so research your state's specific rules or consult a consumer attorney if you believe you have a claim.
Once you pay off the loan in full, Select Auto Group will release the title to you, and the vehicle is yours free and clear. At that point, you own it outright and can sell it, trade it in, or keep it as long as it runs.
Frequently Asked Questions
Can I return a car to Select Auto Group if I change my mind?
Select Auto Group's return policy varies by location. Some locations offer a short window (typically 3 to 7 days) to return a vehicle if you change your mind, while others do not. Ask about the return policy before you buy, and request it in writing as part of your sales contract.
What if I want to trade in my old car?
Select Auto Group accepts trade-ins. They will appraise your current vehicle and explore its value as a credit toward the purchase price of the new car. This reduces the amount you need to finance. Bring your title and keys, and be prepared to answer questions about the vehicle's condition and maintenance history.
Do I need full insurance before I drive the car off the lot?
Yes. Your state requires you to carry auto insurance before you drive any vehicle on public roads. Contact your insurance company before you buy and ask them to add the new vehicle to your policy. Some dealerships will not release the car until they see proof of insurance.
What if I lose my job and cannot make payments?
Contact Select Auto Group when ready if you know you will miss a payment. Some lenders offer temporary payment deferrals or loan modifications. The sooner you reach out, the more options you may have. If you ignore missed payments, the dealership can repossess the vehicle and sell it, and you may still owe the difference between what they sell it for and what you owe on the loan.
Can I refinance my Select Auto Group loan with another lender?
Yes. Once you own the vehicle for a period of time (often 6 months to a year), you can refinance the loan with a bank or credit union if they offer a better rate. This pays off your Select Auto Group loan and replaces it with a new loan from the other lender. Refinancing makes sense if interest rates have dropped or your credit score has improved since you bought the car.