The loans may also be genuine interest free - but with a few caveats such as settling by a certain date to avoid penalty fees and such. There will be enough peo

The loans may also be genuine interest free - but with a few caveats such as settling by a certain date to avoid penalty fees and such. There will be enough people falling into this trap to make it profitable for the loan company. Quite often the same loan company is also financing the dealer's stock so there are also hidden incentives for him to push loans - such as preferential rates for himself.