Choosing the right auto lender can make a huge difference—especially for borrowers with bad or limited credit. In 2025, Exeter Finance remains one of the most talked-about subprime auto lenders in the United States. But how does it really compare with other major players like Santander Consumer USA, Westlake Financial, Capital One Auto Finance, and credit unions?

This in-depth comparison breaks down rates, approval requirements, loan terms, customer experience, pros, cons, and real-world suitability so you can decide which lender actually wins in 2025.

What Is Finance and Why Is It Important in Daily Life? (Complete Guide)

Finance plays a vital role in modern life, influencing how individuals earn, spend, save, and invest money. Whether you are managing household expenses, planning for education, or saving for retirement, finance impacts every decision you make. Understanding finance is no longer optional—it is an essential life skill.

This guide explains what finance is, its types, and its importance in daily life, using simple language and real-life examples.

What Is Finance?

Finance is the process of managing money and other financial resources efficiently. It involves activities such as earning income, budgeting, saving, borrowing, investing, and planning for the future.

In simple terms, finance is about making smart money decisions to meet present needs while preparing for future goals.

Main Types of Finance

Finance is broadly divided into three categories:

1. Personal Finance

Personal finance deals with how individuals manage their money, including:

• Income management

• Budgeting

• Saving

• Investing

• Debt management

Example: Planning monthly expenses and saving money for emergencies.

2. Business (Corporate) Finance

Business finance focuses on how companies manage money to:

• Run operations

• Invest in growth

• Increase profits

• Manage risks

Example: A company deciding whether to invest in new equipment or expand into new markets.

3. Public Finance

Public finance involves how governments manage revenue and spending through:

• Taxes

• Public budgets

• National debt

• Social welfare programs

Example: Government spending on education, healthcare, and infrastructure.

Importance of Finance in Daily Life

Finance affects nearly every aspect of daily living. Below are the key reasons why finance is important.

1. Helps Manage Income and Expenses

Finance helps individuals:

• Track income

• Control expenses

• Create realistic budgets

Without financial planning, people may spend more than they earn, leading to debt.

2. Encourages Saving Habits

Understanding finance promotes:

• Emergency savings

• Long-term financial security

• Financial discipline

Even small savings can provide protection during unexpected situations like medical emergencies.

3. Supports Smart Financial Decisions

Financial knowledge helps people:

• Compare prices

• Understand interest rates

• Choose affordable loans

• Avoid scams

Example: Choosing a low-interest loan instead of a high-interest one saves money in the long run.

4. Helps Achieve Life Goals

Finance makes it easier to achieve goals such as:

• Buying a house

• Purchasing a car

• Funding education

• Starting a business

Planning and investing wisely turns dreams into achievable goals.

5. Reduces Financial Stress

Good financial management leads to:

• Timely bill payments

• Lower debt

• Better emergency preparedness

This reduces anxiety and improves overall mental well-being.

6. Teaches the Importance of Investment

Finance introduces the concept of growing money through:

• Stocks

• Mutual funds

• Bonds

• Retirement plans

Investing helps protect money from inflation and builds long-term wealth.

7. Promotes Responsible Use of Credit

Finance helps people understand:

• Credit cards

• Loans

• Credit scores

Responsible borrowing improves credit history and prevents long-term financial problems.

8. Builds Financial Independence

Financial knowledge empowers individuals to:

• Rely on themselves

• Plan retirement early

• Maintain long-term stability

Financial independence provides freedom and security.

Role of Finance in the Modern World

In today’s fast-changing economy, finance is more important than ever due to:

• Rising living costs

• Digital payments and online banking

• Investment opportunities

• Economic uncertainties

Understanding finance helps people adapt to financial changes and make confident decisions.

Benefits of Learning Finance Early

Learning finance early in life:

• Builds responsible money habits

• Prevents poor financial decisions

• Encourages long-term planning

Financial education is essential for students, professionals, and entrepreneurs alike.

Conclusion

Finance is an essential part of everyday life. It helps individuals manage money effectively, reduce stress, achieve goals, and secure their future. By understanding finance, people gain control over their financial lives and build a stable foundation for long-term success.

In Simple Words

Finance is the skill of managing money wisely, and it is important because it helps people live better today and prepare for tomorrow.

What Is Exeter Finance?

Exeter Finance is a non-prime and subprime auto finance company that works primarily through car dealerships, not direct-to-consumer online applications. It specializes in approving borrowers who:

• Have low credit scores

• Have past bankruptcies

• Are rebuilding credit

• Were denied by traditional banks

Unlike banks and credit unions, Exeter focuses less on credit score alone and more on overall risk profile, including income, employment, and down payment.

Who Are Exeter Finance’s Main Competitors?

To fairly evaluate Exeter Finance, we compare it against the most common alternatives used by subprime borrowers:

1. Santander Consumer USA

2. Westlake Financial

3. Capital One Auto Finance

4. Credit Unions

5. Buy-Here-Pay-Here Dealers

Each serves a different type of borrower—even within the subprime category.

Approval Requirements: Who Is Easiest to Qualify With?

Exeter Finance

• No official minimum credit score

• Approvals possible below 600

• Emphasis on income and stability

• Works exclusively through dealerships

Verdict: Very flexible approval standards.

Santander Consumer USA

• Approves subprime borrowers

• Credit scores typically 550+

• Stronger verification process

Westlake Financial

• Extremely flexible

• Accepts very low credit

• Higher risk tolerance

Capital One Auto Finance

• Generally requires 600–620+

• Better for near-prime borrowers

• Online pre-qualification available

Credit Unions

• Prefer 650+

• Relationship-based approvals

• Lowest approval odds for deep subprime

Winner for easiest approval:
✅ Exeter Finance & Westlake Financial

Interest Rates: Who Offers the Lowest APR in 2025?

Subprime auto loans always come with higher interest rates—but some lenders are significantly more expensive than others.

Key insight:
Exeter Finance’s rates are competitive for subprime, but not the cheapest overall.

Winner for lowest rates:
🏆 Credit Unions (if you qualify)
🏆 Capital One (near-prime borrowers)

Loan Terms & Flexibility

Exeter Finance Loan Terms

• Loan length: 36–72 months

• Flexible down payment requirements

• Used and new vehicles allowed

• Dealer-negotiated terms

Competitor Comparison

Winner for flexibility:
✅ Exeter Finance (dealer-driven customization)

Customer Experience & Account Management

Exeter Finance

• Online account portal

• Phone support

• AutoPay available

• No full-featured mobile app

• Mixed customer reviews

Common complaints:

• High interest rates

• Strict late payment policies

• Dealer communication issues

Competitors

• Capital One: Best app & digital tools

• Santander: Large support network

• Westlake: Functional but basic systems

• Credit Unions: Personalized service

Winner for best user experience:
🏆 Capital One Auto Finance

Late Payments & Fees: Who Is Most Forgiving?

Subprime lenders are strict—missed payments can quickly lead to penalties.

Exeter Finance

• Late fees apply quickly

• Limited grace period

• Repossession risk if repeatedly late

Westlake Financial

• Similar strictness

• Often faster repossession timelines

Santander

• Some hardship programs available

Credit Unions

• Most flexible

• Easier to negotiate hardship plans

Winner for flexibility:
🏆 Credit Unions

Rebuilding Credit: Which Lender Helps Most?

Exeter Finance does report to major credit bureaus, which means:

• On-time payments can improve credit

• Missed payments hurt quickly

• Long loan terms can slow recovery

Capital One and credit unions typically offer better credit-building outcomes due to lower APRs.

Winner for credit rebuilding:
🏆 Capital One Auto Finance

Exeter Finance Pros & Cons

✅ Pros

• Approves very low credit

• Works with many dealerships

• Flexible underwriting

• Good option after rejections

❌ Cons

• High APRs

• No refinancing option

• Limited online tools

• Dealer-dependent experience

Who Should Choose Exeter Finance in 2025?

Exeter Finance is best for borrowers who:

• Have bad or damaged credit

• Were rejected by banks and credit unions

• Need a car urgently

• Have stable income but poor credit history

It is not ideal if you qualify for prime or near-prime financing.

Final Verdict: Which Subprime Auto Lender Wins in 2025?

🏆 Overall Winner by Category

⭐ Overall Rating (2025)

• Exeter Finance: ⭐⭐⭐⭐☆ (4.3/5)

• Santander: ⭐⭐⭐⭐☆

• Westlake Financial: ⭐⭐⭐☆

• Capital One Auto: ⭐⭐⭐⭐⭐

• Credit Unions: ⭐⭐⭐⭐⭐ (if eligible)

Conclusion

Exeter Finance does not “win” in every category—but it wins where it matters most for subprime borrowers: approval.
If you need a vehicle and traditional lenders won’t approve you, Exeter Finance remains one of the strongest subprime auto lenders in 2025.

However, borrowers should always refinance later if possible to reduce interest costs.