The funding for personal car finance is provided either by a retail bank or a specialist car financing company. Car finance arose because the price of cars was out of the reach of individual purchasers without borrowing the money.
The finance is arranged either by the dealer which provides the car or by independent finance brokers who work on commission. Individual brokers will provide any solution for which the individual can get credit approval, but their own particular lifestyle and cost considerations that should determine the choice of finance option.