In this trending topic, a Leasehackr member seeks input on a Chevrolet Corvette C8 deal.

The car is being sold at Manufacturer’s Suggested Retail Price (MSRP) — excellent, given how C8s sell for above MSRP on the secondary market. However, the dealer is requiring the buyer to finance through GM Financial at a sky-high, marked up interest rate.

This is a fascinating discussion, in which the Leasehackr community discusses refinancing, dealer chargebacks for refinancing too soon, and how dealers get compensated for facilitating loans through lenders.

One interesting tidbit: GM Financial typically pays dealerships a “flat” for each vehicle loan signed, along with an 80% dealer split on the “reserve” — which is the additional profit made by marking up the interest rate beyond the original buy rate.

Not only do dealers make money from the sale of a vehicle (“front-end profit”), but they also make money on the “back-end” through financing kickbacks from the lender.