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INSIDER SECRET #6
WHAT IS DEALER HOLDBACK?
Now understand this: Even if the car dealership sells you a vehicle at dealer cost or "invoice," they are still making money!
The factory gives them what is called "holdback" on each new vehicle sold.  On a vehicle that stickers for $30,000 the "holdback" could be as much as $800 to $900!
Now, don't get too excited just yet!  Read more...

INSIDER SECRET #2
ABOUT YOUR CAR LOAN PAYOFF. . .
The "payoff" is the amount of money remaining on YOUR car loan!  This is money that YOU owe!  The car dealer doesn't owe it! You do!
So, when you trade in your vehicle, the "payoff" balance must be paid off, or the bank will not release your title to the car dealer you're trading to!
Read more. . .


The Anatomy of a Great Car Deal!

By Tony Iorio


Everybody wants a Great Car Deal, Right?

Well, what exactly is a Great Car Deal anyway? ;Would you recognize one if it was starring you right in the face?

You see, everybody has their own idea of what a Great Car Deal is!

To some, a Great Car Deal is buying a car at what they perceive to be a low price! To others it is a specific trade-in allowance! Still to others it is a magical payment amount!

Most often however, a Great Car Deal is just a psychological feeling, or a state-of-mind!...and car dealers know this and love to prey on it!

Let me explain!

When you go into a car dealer to buy a car you are going to be greeted by a salesperson. It doesn't matter how uncomfortable this makes you feel, if you want to buy a car you have to deal with a salesperson!

Most people would much rather be left alone to wander by themselves, and it's almost a knee-jerk reaction when you blurt out to the salesperson "I'm just looking!"

You could be walking because your car has been totally wrecked, but you're still going to say "I'm just looking!"

The salesperson has to basically ignore that statement, because if he or she lets you go off on your own you might leave. He also risks either loosing you to another salesperson, or even worse, getting reamed out by the sales manager for not sticking with you!

A good salesperson will figure out a way to hang with you, then attempt to find out what you're looking for. During the course of that conversation, which is called "qualifying the prospect"...that's you... the salesperson is going to find out if you're buying new or used, if you're trading or not and if you're going to pay cash or finance.

These are key bits of information they must know if they are going to maximize their profit on you.

This information will allow them to devise a strategy, and decide on what angle to take in order to convince you that you're getting a Great Car Deal!

***Sidenote***
Most professional car dealers have a sales system in place that's designed to make you believe you're getting a "Great Car Deal." In the process, they will "milk you" for every last dollar they can get out of you!

You're up against a team of professionals, and they go through this routine many times a day!

Be Prepared, because they do this everyday. You do it once every 3 or 4 years!
***Sidenote***

If for example, you tell the salesperson that you are looking for a new vehicle and you are paying cash for it, he or she will determine that a "Great Car Deal" to you is getting a great, perceived selling price.

If you're looking for a new or used vehicle and you tell the salesperson that you want to finance, then he or she will assume the payment is what will determine a "Great Car Deal" in your mind!

If you're trading then you may signal that a specific trade-in allowance is what constitutes a "Great Car Deal" for you!

Once the salesperson has this information, he or she can manipulate you into thinking you're getting a "Great Car Deal," even if they are knocking your socks off!

Let's take the simplest scenario.  You're buying a new vehicle, and you're paying cash.

A smart salesperson will quote you the sticker price, then sit there and watch you squirm!  The salesperson expects you to hit the roof, while you accuse him of ripping you off!

They want you to get ticked off at them!  They want to push you to the point where you're ready to walk out! Oh yeah! Absolutely!

And by the way, there is no better way to turn the tables on the salesperson then by getting up and saying "You people are trying to screw me! I'm outta' here!"

Watch the salesperson scramble then!

He or she will run after you on the lot as you're trying to leave and beg you to reconsider, and to please come back in!

Believe me...I've been on the "begging end" of that scenario too many times to count!

Once your back inside, the salesperson will offer to drop the price a few hundred dollars, and again watch your reaction! If you say "No" he or she will drop the price some more, and continue to go through this process until you say "Yes" to the "Magic Question!"

What is the "Magic Question?" The salesperson will say to you "IF I can sell you this car for $XXXXXX do we have a deal today?"

You say "Yes" and the salesperson says "Sign here! Let me go get my manager's OK on this. How much do you want to give me down right now?"

If you cough up any money you're really trapped, because that money goes into the Sales Manager's drawer, and they know you're not leaving without it! And by the way, the same goes for the keys to your trade! Always get your car keys back immediately after they appraise your vehicle!

You see, once they have your deposit or your keys, and they know you're not leaving without them, this gives the "Big Kahoona" Sales Manager or the "Closer" a shot at closing you before you leave! It's all about control!

Now, the salesperson goes into the Sales Manager and presents the deal. Inevitably, the manager will cross out the price you agreed to and jack it up a sizable amount! And let me tell you...Salespeople hate this as much as you do!

He may very well berate the salesperson for being too weak... especially if you won't give him or her a deposit...and send the salesperson back out to get you to agree to paying a higher price than the one you previously agreed to! This is called the "Bump!"

You spar back and forth with the salesperson, perhaps splitting the difference or whatever. The salesperson goes back to the manager and they may accept the deal at that point or come back to "Bump" you again! This "Bump and Grind" could go on for several more cycles!

There are two reasons for this strategy. The most obvious of course is to get more money out of you! The second reason for all this "Bumping" is they want you to feel that you've worked Them for all They were worth!

Of course, they were really working You!

Eventually, you agree on a price, and the salesperson shakes your hand and says "Congratulations on your new purchase!"

You're relieved and smiling, and probably thinking to yourself that you "beat these people up and squeezed every last drop out of them!"

They're in the back office High-Fiving each other!

Who won?

You both did!

They might have made thousands in profit on you, but in your mind you got a great deal!

You squeezed them for all they were worth, and you'll brag to your friends and relatives that you "Cleaned Their Clocks!"

In the meantime, they're laughing all the way to the bank!

So you see? A "Great Car Deal" is just a State-of-Mind!

You probably paid way too much, but you're as happy as a lark! You'll even recommend them to your friends and relatives!

On the other hand, if they quoted you $50 over cost right from the start, then they would have had no room to maneuver on the price, and you would have probably felt suspicious and believed like they were sticking it to you! You would no doubt be miserable over the deal...even though this scenario is Saving You Thousands Over the First One!

So remember! A "Great Car Deal" is simply a State-of-Mind!

Just make sure you're fully prepared before you start your negotiations. "That's exactly what this website is all about! Do your homework first, then You'll be the one laughing all the way to the bank!

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