Benefiting from the unique quantum feature of nonlocal dispersion cancellation (NDC), the strong temporal correlation of frequency-entangled photon pair source can be maintained from the unavoidable dispersive propagation. It has thus played a major role in many fiber-based quantum information applications. However, the limit of NDC due to finite frequency entanglement has not been quantified. In this study, we provide a full theoretical analysis of the NDC characteristics for the photon pairs with finite frequency entanglement. Experimental examinations were conducted by using two spontaneous parametric down-conversion photon pair sources with frequency correlation and anticorrelation properties. The excellent agreement demonstrates the fundamental limit on the minimum temporal correlation width by the nonzero two-photon spectral correlation width of the paired photons, which introduces an inevitable broadening by interaction with the dispersion in the signal path. This study provides an easily accessible tool for assessing and optimizing the NDC in various quantum information applications.