what is a flex commission

A “flex commission” is the car-finance trick where a dealer could bump your interest rate above the lender’s base rate and skim a bigger cut from the margin.

It rewarded pricier rates while you smiled at the “low monthly repayments.”

In Australia, ASIC banned flex commissions from 1 November 2018, shifting dealers to fixed or capped commission models.

Upshot: fewer conflicts of interest and rates that follow risk rather than patter—still compare lenders, because not all percentages are created equal.