What is an F&I Manager? A guide to vehicle finance and insurance

What does 'F&I' mean – and how will it affect your car-buying journey?

vehicle finance
vehicle insurance

When you think of purchasing a new (or used) car, you think of the fun of choosing your perfect vehicle and the excitement of driving your ‘new baby’ off the dealership floor.


However, the part of the car buying journey that is often overlooked, not fully understood, or sometimes even dreaded is the trip to the F&I office, motus.cars helps us understand:


What is an F&I Manager?

The ‘Finance and Insurance Manager’ is the person in the dealership who draws up sales contracts, helps you arrange payment for the car, and offers you additional products for purchase, like extended service plans, warranties, alarm systems and smash and grab and anti-theft products.


It is important to know that the sale of a new or used car is not official until it's in writing and you sign the legal contract.


What exactly does an F&I Manager do?

An F&I Manager is responsible for obtaining and reviewing the purchasers’ credit application; they pull credit reports and structure a loan based on the underwriting guidelines of banks and finance companies.


The F&I Manager will explain the details of the loan to the customer and arranges for deposits and copies of required documents from the customer prior to the delivery of the car.


They will also explain the options and costs of any added extras. Once the customer completes the choices of optional products, the F&I manager rolls the cost of those products into the loan, prints all loan paperwork, and obtains all signatures before authorizing the delivery of the new vehicle.


Why and how is an F&I Manager involved in the car-buying process?

You may ask why the salesperson can’t just complete everything. Remember how we said the sale is not official until it is in writing and contracts are signed? Well, the F&I Manager is one of the few people at the dealership who knows all the products being offered and is legally trained to know the forms that need to be signed.


What points are discussed with an F&I Manager?

The F&I process begins after a salesperson has obtained a verbal commitment from a customer to purchase a vehicle. They will then take the customer through to the F&I office and introduce them. The F&I Manager will then ask the customer various questions to establish what optional extras the customer may want or need. They will also ensure the customer can afford the total purchase and then work out the best loan and repayment plan.


What value does an F&I Manager offer during the car-buying process?

The F&I Manager is a crucial part of the car buying journey as they are the key to ensuring you understand your options – and that you get the best deal, including all the optional extras you need all rolled into an affordable, customized monthly payment.


If you are in the market for a new or used vehicle, take a look at the wide range of options available to you from motus.cars.