Great Article: Where Does the Car Dealer Make Money?
Great Article from YAHOO’s Phillip Reed about where the car dealer makes money….. “Follow the money,” is good advice for someone trying to understand the hidden side of any business. Nowhere is this more important than on a car lot. Rows of shiny new cars on a dealer’s lot make consumers believe that’s where the big money is. But if you follow the trail of dollars, it leads in a surprising direction. And knowing where the profit is will make you a better shopper. Oren Weintraub, a former general sales manager at a top Ford dealership and now president of the concierge car buying service Authority Auto in Los Angeles, says most car buyers don’t think about how the dealership makes money. One example? “The trade-in is a huge profit center for the dealer,” Weintraub said. “They can pick up $2 grand in the blink of an eye.” MORE AT EDMUNDS.COM * » Avoid Unintended Acceleration * » 2011 Hyundai Sonata Weintraub also explained that there are many fees in leasing, as well as inflated intere
