What Westlake Financial Services does

Westlake Financial Services is a lender that buys auto loans from dealerships after you buy a car. You do not borrow directly from Westlake; instead, the dealership sells your loan to them after you sign the paperwork. This is common in the auto industry — most dealerships do not hold onto loans themselves.

Westlake operates in all 50 states and handles loans for new and used vehicles. They service the loan, meaning you send your monthly payment to them and they handle customer service, payment processing, and account management. If you financed a car at a dealership and later received paperwork saying your loan was sold to Westlake, that is the normal process at work.

Key Takeaways

  • Westlake Financial Services purchases auto loans from dealerships after you buy a car, so you will make monthly payments to them rather than the dealership.
  • Your loan terms — interest rate, monthly payment amount, and loan length — are set by the dealership at the time of purchase and do not change when Westlake takes over.
  • You can make payments online through Westlake's website, by phone, by mail, or through automatic bank withdrawal.
  • If you fall behind on payments, Westlake may report the missed payment to credit bureaus and eventually pursue repossession, so contacting them early if you are struggling is important.

How your loan terms are set

The interest rate, monthly payment, and loan length are decided between you and the dealership before Westlake ever enters the picture. Westlake does not change these terms when they buy the loan from the dealership. What you agreed to at signing is what you owe.

The dealership may have offered you different loan terms — for example, 48 months at 6.5% or 60 months at 7.2% — and you chose one. That choice is locked in. When the dealership sells the loan to Westlake, Westlake services it under those exact terms. If you want to know your current balance, interest rate, or remaining term, you can find this information in your loan documents or by logging into your Westlake account online.

Making payments to Westlake

Once Westlake owns your loan, all payments go to them. You will receive a coupon book or online payment instructions with your first statement. Westlake offers several payment methods: online through their website, by phone using an automated system or customer service representative, by mail using the coupon and payment address provided, or through automatic bank withdrawal (often called autopay).

Setting up autopay can help you avoid missed payments, since the payment is deducted automatically on your due date each month. You can usually set this up through your online account or by calling Westlake's customer service line. If you pay early or make extra payments, most of the extra money goes toward principal (the amount you borrowed), which reduces the total interest you pay and shortens your loan.

What happens if you miss a payment

If your payment is late, Westlake will typically report it to the three major credit bureaus — Equifax, Experian, and TransUnion — after 30 days. A late payment stays on your credit report for seven years and can lower your credit score, making it harder to borrow money in the future at good rates.

If you miss multiple payments, Westlake may send collection notices and eventually pursue repossession of the vehicle. Repossession means Westlake (or a company acting on their behalf) takes back the car. Even after the car is sold at auction, you may still owe the difference between what the car sold for and what you still owed on the loan, called a deficiency judgment. If you are struggling to make a payment, contact Westlake before you miss it — they may offer a deferment, forbearance, or payment plan that keeps you current.

Refinancing a Westlake loan

You can refinance a Westlake auto loan with a different lender if you find better terms elsewhere. Refinancing means taking out a new loan with a different lender to pay off the Westlake loan in full. This makes sense if your credit score has improved since you bought the car, interest rates have dropped, or you want to change your loan term.

To refinance, you will need to contact banks, credit unions, or online lenders and ask for a refinance quote. They will pull your credit, review the vehicle details, and offer you a new interest rate and term. If you accept, they pay off Westlake in full and you make payments to the new lender instead. Keep in mind that refinancing involves a new process and credit inquiry, and some lenders charge origination fees, so compare offers carefully.

Paying off your Westlake loan early

You can pay off your Westlake loan at any time without penalty. Call Westlake or log into your account to request a payoff quote, which tells you the exact amount needed to close the loan as of a specific date. This quote includes your remaining principal plus any interest accrued up to that date.

Paying off early saves you money on interest. For example, if you have 24 months left on a 60-month loan, paying it off now means you avoid 24 months of interest charges. Some people use tax refunds, bonuses, or inheritance money to pay off their auto loan early. Once Westlake receives the payoff amount, they will release the lien on the vehicle title, meaning you own the car free and clear.

Disputing errors on your Westlake account

If you believe Westlake has made an error — for example, a payment was not credited, a payment was applied twice, or the balance is wrong — you have the right to dispute it. Send a written dispute to Westlake's customer service address (found on your statement or their website) within 60 days of discovering the error. Include your account number, a description of the error, and copies of any supporting documents.

Westlake must investigate your dispute and respond within 30 days. If they find an error, they will correct it and notify you. If they disagree, they will explain why. Keep copies of everything you send and receive. If you remain unsatisfied, you can file a complaint with the Consumer Financial Protection Bureau (CFPB), which oversees auto lenders and investigates consumer complaints.

Frequently Asked Questions

Can I pay my Westlake loan off early without a penalty?

Yes. Federal law prohibits prepayment penalties on auto loans, so you can pay off your Westlake loan at any time without extra charges. Call or log into your account to request a payoff quote so you know the exact amount owed.

What should I do if I cannot make my payment this month?

Contact Westlake before your payment is due. Explain your situation and ask about options like deferment (postponing a payment), forbearance (temporarily lowering payments), or a modified payment plan. Acting early is much better than missing a payment, which damages your credit.

How do I know if my Westlake loan was reported to the credit bureaus?

You can check your credit report for free once a year at annualcreditreport.com. Your Westlake loan should appear there, showing your payment history, current balance, and account status. If you see errors, you can dispute them directly with the credit bureau.

Can I transfer my Westlake loan to someone else?

No, you cannot straightforward transfer the loan. However, the other person can refinance the vehicle in their own name with a different lender, which pays off Westlake and replaces it with a new loan. You would need to be released from the original loan, which typically requires the new borrower to may have access to on their own.

What happens if my car is totaled while I still owe Westlake?

Your insurance company will pay the claim to you and Westlake (since Westlake holds the lien). If the payout is less than what you owe, you are responsible for the difference. If the payout is more, the extra goes to you. This is why carrying comprehensive and collision coverage is important when financing a vehicle.