What is f&i?

F&I stands for Finance and Insurance, which are additional services provided by car dealerships or other businesses involved in vehicle sales.

The finance aspect of F&I involves helping customers secure financing for their vehicle purchase. This may include arranging loans from banks or other financial institutions, helping customers complete the necessary paperwork, and discussing payment options.

The insurance aspect of F&I involves offering customers various insurance products to protect their vehicle and provide additional coverage, such as extended warranties, gap insurance, and vehicle service contracts.

F&I departments are typically a key revenue generator for car dealerships, as they can earn commissions on the financing and insurance products they sell. However, there have been instances of unethical practices in F&I departments, such as offering customers unnecessary products or failing to disclose important terms and conditions.

Overall, F&I departments play a crucial role in the car buying process by helping customers secure financing and insurance options that best suit their needs and budget.