Warranties offered by car dealerships are backed by the manufacturer and typically include services at any franchised dealership, which means that your warranty guarantees access to top-notch service from a factory-trained technician using factory parts. But pickup drivers are big on personalization. Don’t assume that your extended warranty offers the same coverage as the manufacturer’s warranty. If you are buying an 8 year old Range Rover from CarMax, you should probably splurge for the warranty. All rights reserved. Your email address will not be published.
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Standing outside a car dealership reveals an armada of shiny new vehicles. If you could look behind the curtains of the dealership, you would discover that each and every operation you are passing by is set up as a profit center—all of them competing for the money in your wallet. So who typically wins this war of dollars, and how mske the dealer actually make any money? The answers might surprise you. Big dollars, factory fresh complete with that new car smell —you would think this is where the big bucks are kept, and in many ways you are correct. Extened they are a high-ticket item, new car sales account for over half of the total gross sales at the dealer.
Dealerships are pushing more optional products and car loans, seeking to offset weaker sales margins
I’m going to the Chrysler dealersip tomorrow to purchase an extended warranty for my dodge charger. I bought the car from a private seller. I’m curious if the sales person I’m dealing with makes some kind of commission from selling the extended warranty. Yes, they make a very good profit on «aftersells» or extended warranties. Both the dealershp and the sales person makes a commission.
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Every product is listed on what dealers call a menu. Way more For example, if a month loan is paid off in 48 months, GAP insurance is terminated, and a refund is issued. Car values were determined and published in books that were available only to dealers. New Car Spotlight.
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