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In ON, what should I know about add-ons and etching for car loans?
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In ON, what should I know about add-ons and etching for car loans?

In Ontario, add-ons such as extended warranties, rustproofing, paint protection, and VIN etching are commonly presented during the car purchase process. While often framed as essential, these products are almost always optional and carry substantial profit margins for dealerships. Financing these extras, especially in the current 2025 market with elevated interest rates, significantly inflates your total loan amount and the interest paid over the entire term, making your vehicle considerably more expensive than its base price. Under Ontario's Motor Vehicle Dealers Act (MVDA), dealers are required to disclose these items separately and clearly state they are optional, affirming your right to decline them without impacting the vehicle purchase itself. VIN etching, for example, is often marketed as a theft deterrent but offers questionable effectiveness and can be a low-cost DIY or third-party service if genuinely desired. It is critical for consumers to understand that most add-ons provide limited long-term value relative to their cost; declining them is a vital step to keep your car loan affordable, avoid unnecessary debt, and protect your financial well-being.

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