Originally Posted by ShaunML09
Also, I am trying to get them back down to the 414 number quoted, but he is claiming they don't get holdback because its a dealer located car, and not part of their inventory? True or false?
Typically with a dealer located vehicle the holdback gets split between the dealer which ordered the vehicle and the dealer receiving he vehicle. What this means, if the dealer has a 2% hold back and is willing to give away half to maintain 1%, that now gets cut in half, which is why they prefer to deal out existing inventory. This isn't always the case, sometimes the dealer trades vehicles instead, in which case the holdback would not get split.
Keep in mind that if you are using a Chrylser Affiliate program this gives the dealer another 1% holdback on the vehicle, no matter if it's in inventory or needs to be located. In this case the dealer is now back to 2% holdback on a located vehicle (3% on a vehicle in inventory) and still selling 1% under invoice.